Investing & Trading Failure

[randallg99]

I personally disagree with selling out with a 30% gain. I keep 15% trailing stops (I was using 25% trailing stops last year during extreme volatility) but I let the winners run. I have about 10 stocks right now showing over a 50% capital gain. If I cut my winnings at at 30% gain I would have significantly decreased my gain. I have cut all my losses at a 25% trailing loss during last year and currently only have a couple of losers with 10% or less decrease in value.

we're on the same page-

LET THE WINNERS RUN!

this mantra is one of the most crucial elements of making a lot of money in the markets.

trailing stop losses are very important, too. I keep mine at 8%

VNR: Basic Chart for VANGUARD NATURAL RES - Yahoo! Finance=

I bought originally in 6 range, only to sell in 8 range (within the week) and then buy again at 10ish and then sell again. Most recent buy at 12 has stayed put in the portfolio.

it also pays out $2.00 per unit (and it will be increased before next earnings due to acquisition)

If I sold at 30% profit, I would have lost another 50% gain and I would have also lost some dividend monies.

The same applies to SeaDrill which I've owned now for several years. I sold lots of it for gains and now the rest of the holding is basically free and it collects a nice dividend.

Thankfully the protection of stop losses have helped achieve a comfort level of letting the winners run so I can achieve my goal.

 

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