When to Sell a StockThe most important decision you have to make as a trader is when to sell a stock. After all you do not make any money until you sell and exit a trade. You can buy a stock at the absolute best possible time, but if you close it at the wrong time it can turn a potentially great trade into a breakeven or even a losing trade.It can be very hard to remember that you will not make money until you sell your stock. Ever trader will have those days when they buy a stock that goes up 15% in 1 day. It can be hard not to walk around saying I made so many thousands of dollars today in the stock market. Still you have to remember you havent made a cent until you sell it. So, how do you determine when to exit a trade? When do you say you have a big enough profit? When do you decide it is time to cut your losses short? The better question is, when should you decide that? Most new traders decide it when they are in the trade; this often backfires because there is so much emotion attached to this type of decision. You should always decide when to sell a stock before you ever enter the position. You must decide how much you are willing to let a trade pull back and how much profit you are going to let pile up before you jump out. This should be done prior to each and every trade.If you find yourself trying to figure out whether you should close a position or let it ride remember your rules. What would your basic rules and guidelines tell you to do in a situation like that? If you didnt make an exit strategy before you entered the trade close out of your position immediately. Always develop an exit strategy first, that is very important. There are a variety of methods out there that can help you to find the best possible time to sell. My personal favorite way is by using chart patterns, but you can also use other indicators such as the fundamentals to help you develop an exit strategy. 
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