What goes up must come down.
These words are true in many places, but especially in the stock market. High-flying stocks can quickly reverse, destroying portfolios and dreams on the way back down. The urge to keep holding huge gains for even more is strong in all investors.
This urge is called greed and greed crushes profits.
Controlling greed is vital for success in the stock market. The trick is knowing when to sell.
Remember, no one has ever gone broke taking profits. Careful observation of internal and external factors affecting share price can provide an educated guess as to when it is time to take profits.
2 Stocks You Need To Dump Now
I have identified two ultra-popular, highly profitable stocks that need to be dumped now. Could these stocks continue to move higher? Sure, anything is possible in the stock market, but these two in particular show all the signs of being severely overvalued and ready to plunge.
Risk-embracing experienced investors could short these monster gainers, but that’s not what this article is about. This article will lay out the case for why it is time to take profits in these two favorite companies.
Believe it or not, I do not hate either one of these firms. In fact, I think they have fantastic business models, products, and services. Just the stock price is out of line with reality and the time has come to take profits.