The CCI Trade by Thomas Bulkowski
Itís not when you buy but when you sell
that counts. These two trades used the
commodity channel index as a sell signal.
Many traders will tell
you itís easy to buy a
stock but difficult to
sell. When you sell
you make a profit or a loss. A buy and hold strategy in a
rising market is a winning strategy
ó until the trend changes. After
that, holding on too long leads to
reduced profits and even losses. So
when do you sell?
The easy answer is that you
should sell when prices reach their
maximum, but determining that
point takes skill and luck. I rarely hit the peak, and sometimes donít even come close. Sometimes,
just getting out with a profit is a blessing.