NEW YORK (TheStreet) -- It's impossible to know with certainty when to take profits off the table, however, there's no reason investors need to fly by the seat of their pants or use guess work either. Professional traders use technical analysis daily to predict the likely price movement of stocks in their focus and you can too.
For many stocks, just because you believe the price may decline doesn't necessarily mean you need to or even should sell. For long-term buy and hold investors, often the best strategy to exploit a strong name in your portfolio is to write covered calls.
Covered calls allow investors to collect an upfront payment to hold their position through time decay while also reducing risk of loss from a correction. If you own any of the names listed and are already looking for the exit, now may be an ideal time to ring the register and lock in profits.
For the more active and aggressive trader, I posted a Real Money Pro trading idea to exploit the current price action.All of the stocks listed are performing well, and some are at 52 week highs. If not, they wouldn't be considered overbought.
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