I’m never sure when to sell my stocks and can't make the difference between it's a bad stock and time to let go versus it's just paper losses and temporary. Do you guys have a selling strategy?

If this is an investment question, den there is always a pullback of a company share price... You cannot expect up, up and up.
If it keeps goes down, den u have to read the news and reports of the company. If this company is not performing said by many analysts..den u decide to cut loss early or stay in the course and pray.
#planwithcolin

Hi there,

Indeed it is difficult to discern between the 2 scenarios. One way of approaching it is to focus on the underlying business rather than the falling stock price.

"Stocks are not lottery tickets, there is a business behind every single one of them. " - Peter lynch

Few questions I ask myself with regards to selling a stock.

1. Has the fundamentals/direction of the business change?

2. Is the business moving away from it's area of expertise and hurting from it?

3. My initial goal for investing in this company has already been met/ the company no longer meets my goals.

Ultimately, after analysing your investment, ask yourself, knowing what I know today, would I invest/add more shares to this company. If the answer is a resounding no, the answer is clear for you. Look for exit points, the opportunity costs are huge.

Of course if the business is still fundamentally storng and you have confidence in it's growrth prospects with strong evidence to back it up, this could be a golden opportunity. "When it rains gold, put out the bucket." - Charlie Munger