Few months back Zerodha has introduced Zerodha Pi scanner in their Pi terminal. The scanner is specially helpful in getting trading alerts in live markets. Lets discuss how we can successfully use the Zerodha Pi scanner in generating real time trade alerts and make out trading semi automated.
What is the usage of a stock scanner?
A stock scanner OR screener can save a lot of time for a trader. Suppose you have a list of 50 stocks and you want to know in which scrips the 20 moving average crosses over 50 moving average. You have 2 choices: 1) Inspect each and every chart every now and then OR 2) Create a scanner that will send you trading alerts when the moving average crossover happens in any scrip.
Creating a Zerodha Pi Scanner:
Open and login to Zerodha Pi. We will create a simple scanner that will alert us if open and low of any Nifty 50 stocks are same. We can load the Nifty 50 stocks market watch from File –> Predefined Workspace –> NSE –> Nifty 50. Now create a new scanner, click Alerts –> Scanner.
Give the scanner name of OPEN = LOW and write this script inside OPEN = LOW. Say we will check open and low same in 4 hours candle. Hence select Periodicity = Hour and Bar Interval = 4, select Days = 1 and click on Add Symbols.
We will be scanning from Nifty 50 stocks. Hence in Add Symbol window select Default Symbols and from the dropdown menu select Nifty 50. Click on add.
This will show OPEN = LOW 51 symbols loaded.
Now click on OK. This will create the scanner, but the scanner is not yet running as we have not loaded it. Click on load and this will load the symbols.
Now as and when a scrip’s open and low will be same in any candle the Zerodha Pi scanner will highlight the scrip in yellow and will generate trading alerts. I have tested OPEN = LOW scanner on 15 minutes candle. I got YESBANK scrip in result.
You can open the charts OR trade from the scanner window. We just opened the chart and checked YESBANK last 15 minutes candle OPEN = LOW logic is fulfilled. Check the image below:
Same way you can write a scanner code open high same formula and scan for open high low same strategy.
You can check my video above to have a complete understanding on how to create a Zerodha scanner to get trading alerts. Your comments will be welcome in the comment box below.