“A column currently published on Toyo Keizai ONLINE” Techniques of profit-taking

Good morning, this is Matsushita.

Every Saturday, we deliver columns on investment-related

themes.

Today's theme is,

"The Art of Taking Profits"

【Column】Makoto Matsushita's Investment Exploration

Issue 194: The Art of Taking Profits

When I speak with individual investors, many of them ask, "Taking profits is difficult."

Indeed, taking profits is difficult. However, most investors

do not know the proper way to take profits in the first place, and only

harbor a vague desire to "push profits further,"

and carry this concern.

To take profits, at the entry point, you need to set a goal for what kind of price movement

you are aiming to target.

To maximize this goal, there are concrete profit-taking theories and techniques.

However, most investors have not decided on a profit target.

That's why they cannot take profits and always say, "It's difficult to take profits."

If you stay like this, you will never be able to take profits properly.

In order to take profits, you must set a target before entering the trade.

That target exists within past price movements. From past price movements,

decide your profit target and approach the trade. Only then

is proper profit-taking possible, and profits will begin to increase.