Site Meter The Lawyer Trader: Out of OSK for a 39% Profit

Wednesday, July 1, 2009

Out of OSK for a 39% Profit

Osk gapped up roughly 28% this morning on an upgrade and some news about a military contract. I bought this stock on June 17th after posting about it being a stock worth watching on June 10th.

Here's the chart:The gap up went right through my first profit target that was set at $18...my second target was $23 but I decided to bail out. Why? Well, I don't like holding onto a stock that just registered a massive one day gain like it did today. It might continue to go up, but, it might also sell off and close the gap...which I do not want to ride out.

Had this stock slowly krept up to my profit target, I would have only sold half my position, but I once heard that you should take quick "windfall" profits when they appear. Note that tajubg "windfall" profits is different than taking profits in general quickly...as quick profit taking in general is not a good strategy for trading. Unexpected "windfall" profits are a small gift that are occasionally given by the trading gods and they should be realized (in my opinion that is).

TLT

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