Monday, 15 June 2009

Exiting a winning position for traders

A reliable way to exit a winning position with good fundamentals is to allow the price trend to finish. This demonstrates that the idea has run its course. The price reaching an arbitrary target or a period of time elapsing is not a reliable signal. Even if a trade is doing well, keep an eye on those fundamentals.

You will never have the satisfaction of getting the best price or the biggest possible profit. If the fundamentals remain the same, wait for the trend to turn, before getting out of a winning position.

No comments:

Post a Comment