Page 1263 - How to Make Money in Stocks Trilogy

More Tips and Tools for Getting Started Right 245

Tracking Your Sells

Just like when you buy a stock, print out the following every time you sell:

• Daily and weekly chart
• Current IBD Stock Checkup
Selling is one of the toughest parts of investing. But if you follow the
Selling Checklist and get in the habit of keeping good records, you’ll be
surprised how quickly you become more adept at locking in profits at the
right time.
Be sure to write down the following:

• Basic info
■ Date of trade, your sell price, number of shares sold, number of shares
you still own after the sale (if any), your % gain or loss
• Reasons for Selling
■ Examples: Hit target of 20%–25% above ideal buy point; fell 7% below
what you paid for it; crashed below 50-day moving average line on the
heaviest volume in months, etc.

Good Records Lead to Good Habits

To make money over the long term, you need good habits and routines. You
can do that just by following the simple routines and checklists we covered
earlier and by keeping detailed records so you’re able to properly review
your results.
Just as athletes watch past games to improve their skills, as investors, we
all need to review our past trades. But to do that, you need to have the
“game tape”—and you will if you follow the steps above. Then you’ll be
ready to do a quick and profitable post-analysis to minimize any mistakes
and build on your successes.