Taking money off the table
I have a couple of small caps that are up quite handsomely in the last month or so. Does anyone have any rules they follow with respect to taking some money off the table after a big run?
Aug 12th, 2016 11:42 am
Aug 12th, 2016 11:56 am
Aug 12th, 2016 11:57 am
Aug 12th, 2016 1:46 pm
Aug 12th, 2016 2:14 pm
Aug 12th, 2016 2:43 pm
Then it's most likely a growth stock. Valuations vary widely but almost all growth stocks are priced right now at a large premium comparative to historically. Your decision should focus on risk management - possible upside vs possible downside within your investment horizon (days, months, years). If you don't have enough information to accurately gauge risks/catalysts then it's best just to take the money and run imo. I trade stocks I often have absolutely no clue on how their business really operates and my decisions for entry/exit are almost solely based on price alone and whether I think the market is mispricing in the short-term, I don't sit there and try to argue with the details. That's what analysts, talking-heads and investment advisers are paid to do, not traders.llpresident wrote: ↑ None of the stocks pay a dividend.
Years ago I recall reading some rule about taking some off the table once you are up 50%?
Aug 12th, 2016 4:49 pm
It depends, there are different strategies that could be deployed.llpresident wrote: ↑ I have a couple of small caps that are up quite handsomely in the last month or so. Does anyone have any rules they follow with respect to taking some money off the table after a big run?
Aug 12th, 2016 6:47 pm
Money Smarts Blog wrote: ↑I agree with the previous posters, especially Thalo. {And} Thalo's advice is spot on.
Aug 12th, 2016 11:41 pm
Aug 13th, 2016 1:30 am
Money Smarts Blog wrote: ↑I agree with the previous posters, especially Thalo. {And} Thalo's advice is spot on.
Aug 13th, 2016 7:48 am
Aug 13th, 2016 7:10 pm