My answer is always "YES".
Take the profit, I say, whenever that question comes into your head, TAKE THE PROFIT! GET OUT!
Reason being if you do not take it then and it goes against you it will haunt you. The argument against that is, of coarse, if it keeps going your way after you get out and you "left money on the table". The feeling of having money in your account and it increasing, however slightly, is better than that sinking feeling of less money.
Whenever someone says "I just got shares of ABC @ $___", Wonderful I say, what's your exit?, 90% of the time they do not know. The 10% that do are 90% more likely to make money and keep trading than the ones that do not. Here is the reason, the price of the stock is going up and down based on what other people are doing (buying and selling) and most of them do not know what they are doing either. The amount of people that hit the exact top or exact bottom of a price swing is very small and most that say they do are lying.
The best analogy is this: HIT SINGLES, hitting four singles is the same as one home run. The chances of a strike out going for the home run is far GREATER than that of a single. The singles keep you in the game and keep team morale up. The hitter that swings for the fence every time misses most of the time...
Reason being if you do not take it then and it goes against you it will haunt you. The argument against that is, of coarse, if it keeps going your way after you get out and you "left money on the table". The feeling of having money in your account and it increasing, however slightly, is better than that sinking feeling of less money.
Whenever someone says "I just got shares of ABC @ $___", Wonderful I say, what's your exit?, 90% of the time they do not know. The 10% that do are 90% more likely to make money and keep trading than the ones that do not. Here is the reason, the price of the stock is going up and down based on what other people are doing (buying and selling) and most of them do not know what they are doing either. The amount of people that hit the exact top or exact bottom of a price swing is very small and most that say they do are lying.
The best analogy is this: HIT SINGLES, hitting four singles is the same as one home run. The chances of a strike out going for the home run is far GREATER than that of a single. The singles keep you in the game and keep team morale up. The hitter that swings for the fence every time misses most of the time...
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