Stock market strategies are all over the place. Perhaps this is because there are many investors out there that have found what works for them. When they find what works for them, they tell the rest of the world so that others can be successful. There are 2 strategies that can help you gain on the stock market. Those strategies are:
• Let your winners stay in the running. Even if you see a decline, know that those stocks that have a pattern of winning are those that will come out of it and make a nice run around the corner. If you get too emotionally involved with it, you may find yourself selling and missing that big run. You certainly don't want to miss that.
• Just as you will let your winners stay in the running, you need to get rid of your losers. You can't hang on
to your losers in hopes that they will climb out of the abyss that they are falling into. If you see that they are only good for the occasional run, just count your losses and make sure you don't lose anymore. This is another type of emotional involvement. That emotional involvement is hope that a stock will come out of it.
So take these two strategies and use them to your advantage. You'll find that your portfolio will be a lot happier if you don't let yourself get too emotionally involved. When you get too emotionally involved, you may end up selling your winners when they have a bad day and keeping the losers in hope they will do better.
That's not exactly the right move to make.
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