LET YOUR PROFITS RUN
A phrase or saying often used in investing, which states the tendency of traders to sell winning investment positions too soon. Most investors are inclined to take gains off the table early out of fear that they will evaporate quickly. On the other hand, investors tend to hold onto large losing positions in the hope that the value will rise again. The key to ‘let your profits run’ phrase is not to be terrified when volatility increases and to maintain convictions on why you entered the trade in the first place.
POPULAR TERMS
Short Leg
Short Leg is a contract where an individual holds a short position. The contract is in the option spread created by the trader by purchasing a put ...
Borrowing Base
Money a lender will loan to a company. The borrowing base is usually determined by a method called margining, where the lender determines a discoun ...
Swaziland Lilangeni
Currency abbreviation for the Swaziland Lilangeni, the official currency of Swaziland. The currency is comprised of 100 cents and presented with th ...
Deposit/Withdrawal At Custodian - DWAC
A method of electronically transferring new shares or paper share certificates from the Depository Trust Company (DTC), which acts as a clearinghou ...
Economic Stimulus
Plans to financially stimulate an economy. It implements monetary or fiscal policy changes to bolster a lagging or struggling economy. Governments ...
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