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when to sell stock or investment ?

when to sell stock or investment?
when to sell stock or investment?



 Namaskar friends my name is Pritam and today  I am going to describe you when you sell your  stock or investment

1.       IF YOU NEED MONEY

2.       IF YOU ARE SHORT TERM INVESTOR

3.       TIPS INVESTMENT 

4.       FUNDAMENTAL CHANGES

5.       TWO AND HALF RULE

6.       3-20 RULE

7.       TALK OF STOCK

8.       CUT THE BAD INVESTMENT

9.       NEW GOVERNMENT FORMATION

10.   INTRADAY TRADING

11.   SWING TRADING

12.   LONG TERM HIGH RSI 70 +

13.   WARREN BUFFET STARTYGY TO SELL

14.   IF PROMOTER DECREASE THERE STOCK

15.   SMART MONEY SELLNG


   

1.       IF YOU NEED MONEY

If you have invested in shares and you always keep investing money then you should know how to enjoy your wealth. When you invest in different assets it can give happiness but when you required money for any reason and also you are in profit then you should book some profit by selling stocks at that time you can sell stock to reward yourself and realize that your investment also contributing towards your problem or your goal which is a very good thing.

2.       IF YOU ARE SHORT TERM INVESTOR

 As the name suggests short term means investment which is for a short period where an investor invests his money for the short period and with that time he wants to book some profits in this stage investor always stay with the stop loss which he has decided when he entered to this stock. Here investors very much focus on his moto, when the stock gets the target then he can sell the share or when his stop-loss hit he can sell the stock, in this case, the investor didn't require to think so much but only have to focus on the stock price and entry and exit price for selling the stock.

3.     TIPS INVESTMENT

when you invest by someone's advice, some anchor on the TV says to buy and you buy any website say to buy and you buy that the process going on you buy the share and  hold it for good profit and listen to the stock's activity by those recommended anchor and than the stock goes up but you can not book profit but when the stock down to 10% than you think about  average the stock and you traped on that share and when you see next time the stock on profit you think it will go up and it goes up but you can not book profit and for another time anchor say buy and its goes high and this time you think it will go high but it down to 30% at last you became frustrated and book your loss and again you start investing on other person tips  which is very much dangerous   you should never invest  in any stock which is coming from free source like facebook , youtube telegram, Instagram,twitter , whats app or TV you should always try to understand on which behalf the analysis recommending the stock and try to  use his analysis to find out your stock .stock market is a zero sum game where you lose money other making money when you making money other losing money but you have to understand the beauti of investing by understanding the thought process and how they pick up stock ,you should learn from different sources how to choose stock now you should research of your own and decided where to buy or where to sell.in this TIPS INVESTMENT.
you should not invest in but if you are already in buying position and you want to sell the stock then wait for its profitable time and also decide some stop-loss till the time you stay invested. when your stop loss hit just book your lose and get out from that stock, you also set a target that if this target is achieved then you should sell the stock with that profit and don't be emotional just sell the share when your target is achieved don't invest in tips if you don't want to research or to learn than you should invest in a mutual fund, other wish you can research of stock and could start your investment with a small amount. Here you could learn and when you got some experience you can also generate a good income from stock. But you should not be invested in the TIPS or if you invested and you are in profit then just sell it other wish you sell it when you are profitable. 

4.       FUNDAMENTAL CHANGES

 if you invest in a company for its fundamentals but you find after a long period that the company's fundamental changes mean its income reducing, its share is being pledged and the ROI keeps reducing year on year then you should exit from that stock you can find any other opportunity because there has already plenty of stock therein BSE and NSE. So when you feel that the company's fundamentals changing you can sell the stock.

5.       TWO AND HALF RULE

when you buy a stock and it became double than just profit book 50% and stay in that stock when the stock again doubles you can book 50% of that stock for which you can book profit time to time and you get less risk on the whole investment as the stock market is risk management game you can get benefited when you follow this rule because your risk to reward favorable for you. 
as an example, if you invested 150 rs in SBI in 2020 then you book 50% profit when it became 300 like that when it became  600 you can book 50% again and the game goes on.

6.       3-20 RULE

In this rule when the stock price is at 3 years all-time high and that breakdowns to  20% in one or two months then you should exit from that stock. Generally, this type of stock changes its trend so better to exit from that stock.

7.       TALK OF STOCK

Generally, when the stock became the mouth of talk it means a lot of people get attention to that stock for which a lot of people try to buy the stock it became Fear of missing out for which the stock goes up without being its fundamental for which you should sell that stock. so when the stock is recommended by the people and stock is common interest by many people then you should sell that stock.

8.       CUT THE BAD INVESTMENT

when you have a lot of stock and you are in good profit but there have a few stocks which are not performing then you should think about the bad stock and sell those stock which is called cut the bad investment. Generally based on your ROI, you should sell bad companies.

9.       NEW GOVERNMENT FORMATION

when a new government forms its means a new policy, new vision, new style of growth which may defer the last govt policy which can create uncertainty in the stock market so when a new government forms you should sell your stock. but remember this is a short-term event.

There are different styles of investment in the stock market 
  1. INTRADAY TRADING
  1. SWING  TRADING
  1. LONGTERM INVESTMENT
ACCORDING to which your stock SELLING should be deffer.

10.   INTRADAY TRADING

11.   SWING TRADING

 IN intraday trading /swing trading you should only sell when your stop loss hit or target hit.

12.   LONG TERMHIGH RSI 70 +

There has no time limit to sell stock when you required some money and in big profit when RSI is above 70+ you can sell the stock. it's just a formula you can think of before selling.

  

13.   WARREN BUFFET STARTYGY TO SELL

Warren Buffet says that you should clean the weak stock and get invest into strong stock. That is the rule of warren buffet.

 14.   IF PROMOTER DECREES THERE STOCK

when the promoter of a company decreases their stock then it is an alert to sell. so when promoter sells their stock you should sell the stock.

 

15.   SMART MONEY SELLNG

Here smart money means the group of people who have the most money invested in that stock, if they are selling then you should sell the stock because they know more than a retailer investor.


All above is just the method if you still do not convince to sell the stock then do not sell, it's your wish and you should consult financial advisors before any decision.

THANKS FOR YOUR TIME.

kindly give your valuable feedback.



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