Stay Focused...

On down days like these, sometimes it can be hard to stay focus. This is why it is important to take profits. But what if you continue to hold onto positions in hopes of achieving more profits in the near term future. In this case, holding thru days like these can be brutal, but you need to stay focused.

You need to assess why you bought the stock in the first place and what are price targets. You should always asign a stop loss price (don't listen to the idiots you don't believe in stop losse triggers) and a sell price. The stop loss trigger price is very important as it can prevent you from losing a huge amount of the green stuff. Often you will hear traders complain about how stop losses are a drag because they cause a trader to stop out on a stock and only to see it rebound soon after. There are a few reasons why this happens. One, it can be that the trader is playing a low float stock. Low float stocks tend to be more volatile than your average stock, so wild price swings, reflecting supply and demand can be expected. With these stocks, sometimes it is better to lower your stop loss or if you have the time, just keep an eye on the stock yourself and make the neccessary adjustments.