8/11/2010

Ability to sell a position is important skill

One of the big problem and lack of skill areas for individual investors is ability to sell a position. Buying is easy part. Selling when it is not working or selling at profit is big problem for most people.
Today I have received emails from many people who did not sell yesterday some of the open positions and now asking will this stock come back. Some how they just can not come to grip with the concept of selling something they bought.
Often I get emails from members or friends or others saying what should they do on a stock they might have bought six month ago and has been going down since then. They just can not bring themselves to sell it.
Hope is their only exit strategy.....
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