In the long run, the stock market goes up, but the ride there is bumpy. Short-term speculators pay attention to daily fluctuations. One of the happiest investors I know looks at her portfolio only once each year, spending the rest of her time enjoying her life and family. Investment Style Growth investors are by nature aggressive and should be more accustomed to volatility. In a recent interview, Tom Dorsey of Dorsey Wright described a system for growth investors to take profits as a stock moves up.
Value investors tend to be more conservative.
Then replace it with another contrarian stock. Determine where you're going to sell the stock and write it down on a piece of paper. When your emotions get caught up in the market, simply refer to your notes. Expect the worst to be much more severe than your initial projection. She and her spouse agree to sell one-third of the position if the stock goes up 30 percent, another third at 50 percent and manage the last third.