Louis, thank you for your advice thus far, it has been very profitable for me. I’m wondering though, how can we reap the reward of a great gainer if we must scale it back to keep all of our stocks even?
The reason that I am encouraging you to take partial profits in winners is that as they get over-weighted, they typically also get more risky. The best way to control risk is just to follow my 60%/30%/10% mix in Conservative, Moderately Aggressive and Aggressive stocks, respectively. If your big winners are Conservative stocks you can hold onto them. However, if they are now classified as more volatile stocks, I recommend that you trim them, especially if you are over-weighted in Moderately Aggressive and/or Aggressive stocks.
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| Video Demo |
| Stock | Symbol | Grade | |
|---|---|---|---|
| BP PLC (ADS) | BP | B | BUY |
| Chevron Corp. | CVX | B | BUY |
| Exxon Mobil Co | XOM | C | HOLD |
| Hess Corp. | HES | A | BUY |
| PetroChina Co. | PTR | B | BUY |
| Sunoco Inc. | SUN | D | SELL |
| Tesoro Corp. | TSO | F | SELL |
| Stock | Symbol | Grade | |
|---|---|---|---|
| Brinker Intern | EAT | C | HOLD |
| CBRL Group Inc | CBRL | D | SELL |
| Cheesecake Fac | CAKE | C | HOLD |
| DineEquity Inc | DIN | F | SELL |
| P.F. Chang's C | PFCB | C | HOLD |
| Ruby Tuesday I | RT | F | SELL |
| Ruth's Hospita | RUTH | F | SELL |







