The number 13 is highlighted on this page for a exceptionally compelling reason. For those who don't know, it often marks the upcoming penance for lusting after profits instead of portfolio chastity.
For investors who understand that bears make money, bulls make money and pigs get slaughtered, that13 signals that if you're not taking money off the table and locking in your profits, you better keep your hand on the shifter so you can exit quickly.
An accelerated stock is an incredibly seductive mistress that will leave you twisting in the wind wondering what happened. Your portfolio's best defense against the ravages inflicted from lust taking control is to have a plan in place before your dollars are invested.
Making a plan forces you to think about stop losses and what you will do if the position moves against you. Most investors never think a stock is going to lose money. After all, why buy it if you're not convinced it will go up? But unless you believe you can predict the future, you need to predict the odds, and the odds sayYou won't get it right every time. If you know you won't be right every time, then you also know you need a plan to exit if the road becomes hazardous. At the time of publication the author had no position in any of the stocks mentioned. Follow @RobertWeinstein This article was written by an independent contributor, separate from TheStreet's regular news coverage.
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