http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-stocks What Is a Realistic Profit when Trading Stocks? We trade stocks to make money, protect investments that we already have, and make our lives better in the future. This mindset is good to recall when trading in the trenches on a hectic trading day. The thought that comes to mind today is just what is a realistic profit when trading stocks? All too many traders have forgotten to set their trading stops and seen a promising trade reverse from profit to loss. All too often a trader intentionally does not set an upper “sell” stop as he wants to “let the trade run” to higher profits. To the extent that a person has results from sound fundamental and technical analysis that predict a huge rise in stock price, this may be a good strategy. However, just letting a trade run in hopes of gaining a larger profit is all too often a recipe for disaster. Always ask yourself what is a realistic profit when trading stocks in any give sector and on any given day. Market research can be useful at this point. It turns out that after a big market move prices tend to correct a bit backwards. This works on a multi-year time frame and on shorter time frames as well. The stock market is efficient in the long run and often inefficient in the short run. This is due to speculation of both investors and short term traders. When asking yourself what is a realistic profit when trading stocks, remember the tendency of the market to backtrack. The Author’s Barron’s Effect Years ago when Barron’s was only in print and not online, this author often purchased stocks mentioned in the publication. My theory was two-fold. First of all, when the magazine interviewed experts in the matter of picking stocks, they often recommended stocks that had a good growth potential. Second, everyone else read the publication and decided the same thing and went out to purchase the stock. This author profited several times by purchasing the publication on the weekend and placing stock orders at first light, so to speak, on Monday. The part about what is a realistic profit when trading stocks in this story is this. I set 30% as the gain to expect before selling the stock in question. I certainly missed out on further growth in a couple of these stocks but I also avoided huge losses in more than a couple. What happened to market sentiment with these stocks was that when they failed to pan out, investors bailed in huge numbers, driving the stock price down. And sometimes the initial advice was bad as well. But being mentioned in the famous publication tended, in the short term, to drive stocks prices up.

1. What Is a Realistic Profit
when Trading Stocks?
By www.profitabletradingtips.com

2. We trade stocks to make
money, protect investments
that we already have, and
make our lives better in the
future.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

3. This mindset is good to
recall when trading in the
trenches on a hectic trading
day.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

4. The thought that comes to
mind today is just what is a
realistic profit when trading
stocks?
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

5. All too many traders have
forgotten to set their trading
stops and seen a promising
trade reverse from profit to
loss.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

6. All too often a trader
intentionally does not set an
upper “sell” stop as he
wants to “let the trade run”
to higher profits.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

7. To the extent that a person
has results from sound
fundamental and technical
analysis that predict a huge
rise in stock price,
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

8. this may be a good
strategy.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

9. However, just letting a trade
run in hopes of gaining a
larger profit is all too often a
recipe for disaster.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

10. Always ask yourself what is
a realistic profit when
trading stocks in any give
sector and on any given
day.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

11. Market research can be
useful at this point.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

12. It turns out that after a big
market move prices tend to
correct a bit backwards.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

13. This works on a multi-year
time frame and on shorter
time frames as well.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

14. The stock market is efficient
in the long run and often
inefficient in the short run.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

15. This is due to speculation of
both investors and short
term traders.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

16. When asking yourself what
is a realistic profit when
trading stocks, remember
the tendency of the market
to backtrack.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

17. The Author’s Barron’s
Effect
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

18. Years ago when Barron’s
was only in print and not
online, this author often
purchased stocks
mentioned in the
publication.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

19. My theory was two-fold.
First of all, when the
magazine interviewed
experts in the matter of
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

20. picking stocks, they often
recommended stocks that
had a good growth
potential.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

21. Second, everyone else read
the publication and decided
the same thing and went
out to purchase the stock.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

22. This author profited several
times by purchasing the
publication on the weekend
and placing stock orders at
first light, so to speak, on
Monday.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

23. The part about what is a
realistic profit when trading
stocks in this story is this.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

24. I set 30% as the gain to
expect before selling the
stock in question.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

25. I certainly missed out on
further growth in a couple of
these stocks but I also
avoided huge losses in
more than a couple.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

26. What happened to market
sentiment with these stocks
was that when they failed to
pan out,
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

27. investors bailed in huge
numbers, driving the stock
price down.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

28. And sometimes the initial
advice was bad as well.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

29. But being mentioned in the
famous publication
tended, in the short term, to
drive stocks prices up.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

30. History and Leverage
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

31. In trading gold you can use
an exchange traded fund or
you can buy and sell mining
stocks.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

32. History tells us that gold
mining stocks rise faster in
price than gold itself in a
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

33. bull market and fall faster
than gold bullion does in a
bear market.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

34. If your expertise is in mining
stocks the issue of what is a
realistic profit when trading
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

35. stocks is different than if
you are simply doing
technical trading of gold
bullion via an ETF.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

36. Trading consumer goods
stocks typically results in
less volatility than when
trading biomed startups,
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks

37. etc. In any case, always
consider what is a realistic
profit when trading
stocks, and exit your trades
accordingly.
http://profitabletradingtips.com/trading-investing/what-is-a-realistic-profit-when-trading-
stocks