Picking stocks is not only the secret to successful trades, but it is the backbone of any trade.
Pick the wrong stock to trade and you are doomed from the start.
Pick the right stock and even a 5 year old can make money with that trade.
The problem however is that picking stocks is a real art and a skill that very few master.
This is one of the main reasons why stock picking software is such a hugely popular topic.
The question then is does it work? Stock picking software is NOT what most people make it out to be.
Often its sold as "automatic" and "beyond human" but what in reality it only tries to mimic human thinking.
There are some very distinct advantages and disadvantages to using software to pick stocks.
The major disadvantage is that the software completely removes the human element of thinking, reasoning and using common sense.
Some argue that it's a good thing, but in the end a level of common sense is always necessary.
The main advantage however is that software can enable us to do immensely complicated tasks at the push of a button.
Stock picking software is no different.
With the ability to identify complex patterns and simplify trends it can give novice traders a huge advantage.
So, does it work? Well, it's a double edged sword and while it can be a huge advantage it can be a lethal weapon in the wrong hands.
For it to "work" you always need to have that human input.
You must filter ever stock pick through your own good common sense - and off course your experience.
Use it as a tool and don't just blindly follow it.
If you do that you can have a lot more success and make intelligent, informed and sensible stock picks with ease.