You buy stocks to make a profit, right? Stock profits come from the company’s share of profits distributed to investors (dividend) and the stock price increased (capital increase– However, these profits can only be realized if you sell shares.

Before selling, profits are still in the picture. unrealized profits One’s value can change according to market conditions. But can I sell shares at any time? And when is the best time to sell this investment instrument? Read the following description.

Can stocks be sold at any time?

Stocks are investment instruments that you can sell whenever you want. As long as the Indonesian Stock Exchange remains open Stock exchange hours are 9.00 WIB to 16.00 WIB from Monday to Friday. Closed on public holidays.

However, your shares may not be sold immediately. The same is true for selling general products. Shares can be sold if other investors are willing to buy them at the price you previously set. Therefore, stocks will be sold immediately if the selling price is set in line with the market price (Market orders

Additionally, the money from the sale of your shares will be credited to your bank account only approximately 2 days after entering the sale order. This is because the securities company must go through the debt repayment process first. And it usually takes 2 business days (T+2), so stocks are not the most suitable investment instrument to invest in. emergency fund

The right time to sell stocks to make a profit

1. Other than Friday and before public holidays.

You can sell shares at any time. But it’s best not to sell on Fridays, during the day and before public holidays. This is because your order to sell shares will only be processed by the securities on the next business day. As a result, the proceeds from the stock sale will take longer to reach your account.

For example, you enter a sell order at 13:00 WIB on Friday. Therefore, the order processing is carried out only by the security with which you trade on Monday of the following week. And the earliest the money is credited to your account is Wednesday.

2. When the profit target is achieved

Before investing in stocks, you should prepare a trading planning note (Trading plan) First. The goal is to make your investment more concentrated. In Trading plan In this case, you need to specify your desired profit target.

Sell ​​the shares you own once your profit target is reached. This is so that you avoid FOMO or greed, which can lead to unnecessary losses.

3. When the stock price reaches the Cut Loss level.

In addition to profit goals The trading plan must also include a price level for cutting losses (selling at a loss). Selling at a loss is intended to reduce the risk that may occur due to further price drops. This is especially true if you don’t believe the stock price will go up. reserve (bounce back

You can determine this cut loss level using the normal support line or Fibonacci retracement– Additionally, you can start selling your shares. If the price of this investment instrument breaks through the lower Automatic Rejection Bounty (ARB) continuously. This means that there is a relatively strong bearish trend driving these stocks.

4. When the candlestick pattern appears

Candlestick patterns or candle charts are often accurate indicators of trend changes, such as candlestick shapes. three black crows– This candle consists of 3 red or black candles, arranged in order and becoming larger (candle A

5. When controlling investors sell their shares in large quantities.

in investing in stocks of a company There are some investors who hold large amounts of shares in the company. These controlling investors are usually individual investors with large amounts of capital, such as Lo Keng Hong, a company director or commissioner, or institutional investors.

Selling large amounts of shares could push the stock price down further. Moreover, If a bookmaker investor does this Other investors who do not know the cause of the decline will definitely sell their shares. As a result, the stock price continued to decline.

If you are unsure about the future performance of your company. You can sell shares immediately, however, if you are sure that the price reduction will be temporary. You can just leave it alone. Or even increase your ownership by doing so. Dollar Cost Averaging (DCA)

6. When the company experiences a continuous decline in operating results.

As an investor One skill you need to master is reading financial reports and annual reports. The goal is to give you an idea of ​​the company’s performance each year.

Business will definitely have its ups and downs. But if the company experiences poor performance for 6 consecutive quarters, the company’s business may suffer and must sell its shares to prevent the shares from becoming stocks. stocks and reduce the value of your portfolio.

7. When you really need the money

If you have an urgent need that cannot be insured and can pay for it all with an emergency fund. You can sell your shares. For example, your husband was fired from the company and has been unemployed for 3 months. His emergency fund has run out. If in the 4th month he does not receive any income You can then sell the shares you own according to your daily needs.

Stocks can really be sold at any time. However, selling this investment instrument cannot be done recklessly. Especially if you do not want to suffer losses. Carefully review the stock and financial performance of your target issuer. and prepare a good trading plan To make your investment profitable

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