Trade Inquiry: Creating a Stock Scanner using Thinkorswim

Introduction

• Presenter: The Stock Doc
• Goal: Explain how to use Thinkorswim to create a stock scanner setup to identify stocks like GME and AMC.
• Focus: Identify stocks that receive a lot of attention quickly and can potentially spike in price.

Setting Up the Scanner

Initial Steps

1. Navigate to Scan: Top left in Thinkorswim.
2. Stock Criteria: High percent change, high volume, and increased trading activity.

Filters to Apply

1. Percent Change:

   • Add Filter: Go to add filter for stock.
   • Criteria: Percent change
   • Settings:
     • Minimum: +3%
     • Maximum: No cap

2. Price Range:

   • Add Filter: Go to add filter for stock.
   • Criteria: Close
   • Settings:
     • Minimum: $0.75 (75 cents)
     • Maximum: Unlimited

3. Volume:

   • Add Filter: Go to add filter for stock.
   • Criteria: Pure volume
   • Settings:
     • Minimum: 500,000

4. Trade Volume Index:

   • Add Filter: Go to add filter for stock.
   • Criteria: Volume index
   • Settings:
     • Minimum: 250%

Scanning

1. Scanner Scope: All optionable stocks.
2. Run the Scan: See results filtering for the specified criteria.

Results and Analysis

Example Stocks Found

• Key Attributes: Positive price change, volume > 500,000, high volume index.
• Examples: OCGN, AEZ, GME.

Case Study: OCGN

1. Historical Patterns: Initial spike, consolidation, trend line break, continuation.
2. Current Patterns: Similar setup suggesting potential for another spike.
3. Trade Volume Index: Indicates more traders flooding in.
4. Trading Strategy: Watch openings closely, anticipate potential sell-offs, or spikes.

Case Study: AEZ

1. Potential Patterns: Day traders watch for higher highs and higher lows.
2. Current Status: Potential double bottom, monitoring for trend confirmation.

Case Study: GME (Gamestop)

1. Historical Move: Volume and trade volume index spike detected early by scanner.
2. Potential Gain: Entering after initial scan detection could have capitalized on massive price increase.

Trading Considerations

• Volatility Risks: Higher volatility means potential for significant gains, also higher risks.
• Strategy: Careful monitoring of patterns, trends, and volume changes.
• Trading Options: Watch for gaps, sell-offs, and buyer momentum.

Conclusion

• Tutorial Replay: Link to the scanner will be provided in the description.
• Feedback: Encouraged to leave questions or suggestions in the comments.
• Reminder: Trading is risky, manage emotions and risks carefully.
• Channel Subscription: For more videos on stock scanning and trading.

Final Note

• Disclaimer: Trading carries risks; understanding and managing emotions are key to long-term success.