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Stockshaala

Module 4
Talking to AI – The Right Prompts
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Chapter 4 | 2 min read

Avoiding Vague Prompts That Confuse AI

AI can feel powerful, but it’s only as good as the way you frame your question.

Ask it something vague, and you’ll get vague results.

The same rule applies to stock screeners. If your prompts are unclear, the output will be messy or irrelevant.

To get sharp, useful shortlists, you need to frame prompts with precision.

Prompts like these:

  • “Show me good stocks to buy.”
  • “Which companies will go up?”
  • Find safe investments.”

These are too broad. AI doesn’t know what “good,” “safe,” or “will go up” means for you. Everyone’s definition is different.

  • Too many possibilities: AI has no way to narrow down your search.
  • Subjective language: Words like good or cheap don’t have fixed meaning.
  • Missed context: Without numbers or timeframes, results become guesses.

Instead of vague words, use specific conditions.

  • Vague: “Show me cheap stocks.”
  • Clear: “Show me Nifty 100 stocks with P/E below 15 and price under ₹500.”
  • Vague: “Find safe investments.”
  • Clear: “List banking stocks with NPAs under 2%, ROE above 15%, and dividend history for 5 years.”

See the difference? The clear prompt gives AI measurable rules.

  • Add numbers: Price < ₹500, ROE > 12%, RSI < 30.
  • Mention timeframes: Profit growth in 3 years, 10-day average volume.
  • State sector or size: Mid-cap IT, large-cap banks, FMCG.
  • Use AND/OR logic: “Under ₹1,000 AND above 200-DMA.”

Example A vague prompt:
“Find strong auto companies.”

A clear prompt:
“Show me auto stocks with sales growth above 10% for 3 years, debt-to-equity below 0.5, and trading above 50-day moving average.”

Now the screener knows exactly what you mean by “strong.”

Even with clear prompts, the first result may not be perfect. Don’t hesitate to refine. Example:

  • First: “Show me FMCG stocks with P/E under 25 and profit growth above 10%.”
  • Then: “Now exclude companies with promoter pledges.”

This iterative process turns vague prompts into sharp, actionable ones.

AI isn’t a mind reader. Vague prompts create vague results.

But when you write clear, measurable conditions, the screener becomes a sharp tool.

Replace subjective words with numbers, timeframes, and filters.

The clearer your prompt, the sharper and more reliable your shortlist will be.

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Disclaimer: This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Neo Research Team, nor is it a report published by the Kotak Neo Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their own research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.

Investments in securities market are subject to market risks, read all the related documents carefully before investing. Brokerage will not exceed SEBI prescribed limit. The securities are quoted as an example and not as a recommendation. SEBI Registration No-INZ000200137 Member Id NSE-08081; BSE-673; MSE-1024, MCX-56285, NCDEX-1262.

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