How to Frame Clear Prompts for Stock Screening

AI is powerful, but it’s only as good as the question you ask.

Just like typing something vague into Google won’t give you useful answers, unclear prompts in AI stock screeners will only confuse the system.

The real skill lies in framing clear prompts that tell AI exactly what you want.

1. Be Specific

Instead of saying:
“Show me good stocks to buy.”

Try:
“List FMCG stocks with price under ₹500, profit growth in the last 3 years, and trading above their 200-day moving average.”

The first prompt is vague and meaningless. The second is precise, with conditions on sector, price, fundamentals, and technicals.

2. Break Down Your Filters

If you have too many conditions, break them into smaller steps.

Step 1: “Find banking stocks with NPAs under 2%.”
Step 2: “Now show only those trading above 50-day average.”

This way AI filters layer by layer, instead of getting confused by one massive request.

3. Use Clear Parameters

Always mention clear values or ranges:

• Price: under ₹500, above ₹1,000
• Ratios: P/E below 20, ROE above 15%
• Time frame: profit growth over 3 years, volume average over 10 days

If you just say, “low P/E” or “high volume”, AI won’t know your definition. Numbers make it clear.

4. Combine Fundamentals and Technicals

The real power of AI comes when you merge different types of conditions.

Example:
“Show me mid-cap IT companies with debt-to-equity under 0.5, positive cash flows, and RSI below 30.”

This way, you’re not just filtering by financial health, but also catching stocks at a technical level where they may be undervalued.

5. Avoid Vague Language

Phrases like “good stocks,” “safe companies,” “big opportunities” are too subjective. AI cannot understand them. Stick to measurable criteria like price levels, ratios, averages, or volumes.

• Replace “good stocks” → with “stocks with P/E < 20”
• Replace “safe companies” → with “banks with NPAs under 2% and ROE > 12%”
• Replace “cheap shares” → with “price under ₹500 and debt-to-equity < 0.5”
• Always add numbers, timeframes, and ratios instead of loose words.

6. Iterate and Refine

Your first prompt may not be perfect. That’s normal. The strength of AI is that you can follow up:

• “Now remove companies with promoter pledges.”
• “Sort them by ROE, highest to lowest.”
• “Show only those from the Nifty 100.”

Think of it as a conversation. You keep refining until the output looks useful.

Final Takeaway

Clear prompts are the backbone of AI stock screening.

The more specific and structured you are, the more useful the results.

Think of AI as an assistant — guide it step by step, use numbers instead of vague words, and refine until the shortlist makes sense.

Done well, this habit saves time and gives you focused lists worth deeper research.