Reflections on profit-taking

Wednesday, 10th June 2009 11:01 - by Boredmum

On the 13th May, I posted a Blog entitled ‘Taking Profits’. At the time of writing the Blog, I felt that I had possibly missed opportunities by selling too early and queried what was best - either taking profits or holding out for bigger things. I felt that rather than take profits of a few hundred pounds, I would hold on for what could possibly be thousands of pounds. Well, I have now changed my mind and feel that profit-taking is best (A girl’s prerogative to change her mind, you know!). You see, I held stock all through May, and May turned out to be my worst month since I began to trade in January. I watched things rise on speculation; 20%, 30% and even 66%. I could have bagged myself my best month ever but I held out for ‘better things’. Will these ‘better things’ ever happen? I have no idea. That is the trouble with rumour surrounding potential takeovers and the like. So, if I’m asked what is best...? ...take profits where you can. Think of it as leaving some in for the next man and don’t feel you have missed an opportunity if the share price then rises. Quite simply, be happy with your lot.