The article is really a good one for beginners like me.It is very pragmatic for investors not to be carried away by greed.One should always book profits or else he/she might have to cry in the end. Please come up with more articles like this.Also it would be very helpful if you post articles regarding futures and options,day trading,hedge funds,security bonds etc.
I agree with the views. One must sell when one makes reasonable profits. One should not regret if price goes up further after one has sold after making reasonable profits. After all a person who has the courage to enter at higher levels must also have his rewards. Similarly, 'Stop Loss' theory is for day traders. If the Company is good and you haven't borrowed funds to invest, you must remain invested.
However, a word of caution. One must learn to book losses. If the company you invest in is not good but share prices have gone up on mere speculation, you must learn to book losses when the share price starts falling.
Finally, 'Technicals' or no 'Technicals', 'Fundamentals' will always prevail. To enjoy the fruits of investing in a fundamentally strong company, one needs patience. This is for investors and not for speculators or day traders.
