If you like the idea of playing with penny stocks to turn a quick profit, could it be a good idea to invest in penny stock screener software? How good are the chances that you will be rewarded adequately for the money that you sink in it and the time that you spend learning to use it?
There are literally dozens of penny stock screener packages on the market all vying for the buyer’s dollar. You don’t just buy something that seems popular and priced reasonably. A lot can depend on how well a particular software title is designed for your specific needs. They offer them for different levels of investor, for instance. Some offer deep and complex customization abilities while others are plug-and-play more or less.
Going in prepared
It is always a good idea to learn the investment trade a bit, ahead of actually buying software. You need to look at the features list that comes with each product to judge for yourself what you need to use. Many of the better penny stock screener software titles offer constantly updated lists of undiscovered stocks. These stocks are usually a great bargain because their potential isn’t widely recognized at that point. You should consider this an essential feature. Fully customizable search should be a feature to not miss, as well. You need to have your search results sorted and filtered to the parameters that matter most to you.
Is that software too complex?
As important as the right features are, it is never a good idea to overlook ease of use in software. It can be difficult enough dealing with complex stock analysis without having a complicated program taking up your time as well. For the beginner, a good, well-designed program could offer much more than a complex full-featured one. It can never be a good idea to go with a program for its feature set, if the feature set is simply too difficult to access on a regular basis.
It can be a matter of personal, subjective perception how complicated a program is felt to be. Your familiarity with investing in stocks and your level of trading experience can easily influence how accessible you find a penny stock screener. The more time you have spent investing and understanding how the markets operate, the more easily you will be able to make sense of a given program.
How about a screener service?
To many beginner traders, a penny stock screener service that simply gives them a series of good alerts from time to time for stocks to buy, can offer considerable satisfaction. It can save time and elbow grease to just be handed a list of opportunities. The only problem is that one never knows how good the team making the choices behind the scenes really is at picking winners.
Spend time trying things out
Most penny stock screener titles are priced in the $30-$100 range. While the really good ones certainly do come with a price tag that is close to the upper end of the range, it could be risky trying to judge a software package merely on the kind of price it sells for.
Whatever penny stock screener software you buy, you need to make sure that you use a trial version ahead of paying for anything. In fact, it would be an excellent idea to try several for as long as their trial periods last. When you’re just starting out at something, it is easy to get carried away by your enthusiasm and to go for something that’s too complex (or complicated) for your current level of expertise. A good bit of time spent with trial versions should give you a good feel for what works for you.