24. When to Sell
Most lectures and publications on any investment technique focus on the initial trade. For stock investors, that means the initial purchase. For futures or options traders, that could mean the initial short sale, as well. Not only does this present only half the story, it theoretically sets up investors to lose a good chunk of profits, if not the original invested capital.
For this reason, this chapter ties together other concepts covered earlier and looks at achieving our profit objectives. We know when to get out when we’re wrong. Now let’s figure out when to get out when we’re right.
The Trend Is at Its End
This is one of the hardest tasks in the investment world. How can the average investor pick tops ...