Club Mulgoa

Friday, October 05, 2012

When to sell?

That is probably my most difficult decision.  And often I regret selling.

But there are situations where it is easy to decide.  When the share price goes bonkers, upwards, with no announcement at all.  Perhaps it is insider information but that is illegal.  And those people, if they are smart, cannot buy a lot as it would arouse suspicion.

When I need money desperately, I would sell the non-performers.  I am glad that this is rare.  But if another stock with excellent prospect has a good SPP, and I don't have enough cash, the I do sell.

Rarely, I trade.  I sell with the intention of buying back at a lower price.

Sometimes, I want to regain my capital.  So after retrieving what I paid for, I consider the rest of the stock as "free".

Whenever you sell, you can never tell whether it is going to fall or rise.  But if you make a profit, always be happy even if it turns out that you could have made more.

I don't advise or give tips on individual stock to sell.  That is something you have to decide.  GGG and MMR were doing extremely well... and then they collapse.  If you ask whether you should have sold earlier, then I would say it is a bloody stupid question.  But you could have made a huge profit if you did!  But then you could have sold CTP and bitterly regret it now....

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