ProductsPricingFree Market DashboardMarket News FeedScannerChartsHeatmapMarket SectorsTrack RecordMAD AcademyMCP Connector
Foundations4 min read

Stock Scanners and Screeners

A stock scanner tests a whole market against conditions such as price, volume, relative volume or gap size, and returns the stocks that match. The result is a shortlist to study on a chart.

MadStockAlerts Research · Updated October 2, 2026

What to Take Away

  • A scanner applies a list of conditions to every stock in a universe and returns the ones that pass.
  • A screener usually runs on slower data and answers a slower question; a real-time scanner reruns as the session trades.
  • Liquidity filters such as price and volume come first, because a match nobody can trade is not useful.
  • Delayed data, thin small caps and unadjusted relative volume all produce results that mislead.
  • Every row in a scan result is a candidate to study, and the conditions decide what the list means.

MAD Academy Training Video · 0:51

Thousands In, a Handful Out

Two scans over the same market at the same moment return two different lists, because the conditions are the whole definition of the result.

This lesson is part of a MAD Academy plan.

See the library

What a scanner is

A stock scanner is software that tests every stock in a universe against a list of conditions and returns the ones that pass. Traders use one to narrow thousands of listed securities to a short list worth opening on a chart. The conditions decide what the list means, and every name on it is a candidate to study.

The two words are often used interchangeably, but they describe tools built for different speeds of question.

AspectScreenerReal-time scanner
DataEnd-of-day prices and reported fundamentalsThe live session, trade by trade
RefreshOnce a day, or on demandContinuously while the market is open
Typical conditionsValuation, growth, dividend, sectorPercent change, volume, relative volume, new highs
The question it answersWhich companies have these characteristics?Which stocks are doing this right now?

The common filters

FilterWhat it measuresWhy it is used
PriceThe last tradeSets a floor below which spreads and volatility behave differently
VolumeShares traded in the sessionA floor on liquidity, so a match can actually be traded
Relative volumeToday's volume against the stock's own averageFinds unusual participation, which is comparable across stocks
Gap percentThe open against the prior closeFinds stocks repriced overnight, usually by news
FloatShares available to tradeA small float can move further on the same demand
Market capitalizationTotal value of the shares outstandingSeparates very different kinds of company
Technical conditionPrice against a moving average, a 52-week high, an RSI readingSelects a chart state, such as a trend or a stretched reading

Each filter removes stocks; none adds any. A scan with seven conditions returns the stocks that pass all seven at once, which is why adding a condition narrows the list faster than intuition suggests. A combination of a price floor, a volume floor and one condition describing the move is the shape most scans share.

From scan to shortlist

What a scan does to a market
  1. 1UniverseEvery listed stock the scanner covers
  2. 2Liquidity floorPrice and volume minimums
  3. 3The conditionA gap, a volume surge, a new high, a technical state
  4. 4ShortlistThe handful of names that passed everything
  5. 5Chart reviewStructure, levels, news and the filing behind the move
The order of the middle steps does not change the result, because every condition has to pass. What changes the result is which conditions are in the list, and the last step is the one no scanner performs.

A preset is a saved list of conditions with a name: top gainers, gap ups, unusual volume, new 52-week highs. The name is a summary, and the conditions underneath it are the definition. Two presets with similar names can apply quite different thresholds, so reading the conditions is how the result is read.

Where scans mislead

PitfallWhat happens
Delayed dataThe list describes the market as it was several minutes ago, and the fastest movers have moved again
Thin small capsOne trade can move the percentage change, and the last price may be minutes old
Unadjusted relative volumeEarly in the session the figure is distorted unless it is adjusted for time of day
Unadjusted corporate actionsA split can appear as an enormous gap that never traded
Survivorship in the universeA universe of today's listings omits everything delisted, which matters for any historical scan

A match describes the past

Every condition in a scan is measured on prices that have already printed. A stock that passed a gap scan has gapped; whether it does anything further is a separate question, and the scan contains no information about it. Treating the list as a set of signals skips the step where the chart, the levels and the news are read.

How MadStockAlerts uses this

The free MadStockAlerts scanner runs the whole US market through preset scans for gainers, losers, momentum, gaps, unusual volume and 52-week extremes, with filters on top. Its prices are not real-time; members scan in real time. Our premium alerts start from a market scan as well, and each one is reviewed by an analyst before it sends.

Run a preset, then open its conditions to see exactly what the list was selected for.

Open the free scanner

Finished this lesson?

Progress tracking, subject trophies and the training videos are part of every paid plan.

Educational content only. MadStockAlerts provides market commentary, research, and educational content. It is not personalized investment advice, and nothing here is a recommendation to buy or sell any security. Trading and investing involve substantial risk, including loss of capital. See the Risk Disclosure and Customer Agreement.