Profits are not profits unless taken

Been a long time since I've updated on this blog. I read a really good advice online and it kind of echoed in my head for the last few days.

The difference between an experienced trader and a newbie is that the experienced trader knows how to take profit when it is due. No point buying a stock for a dollar and then seeing it run up to two dollars and mentally calculate that you have made a 100% gain without cashing it out.

Same thing for real estate. Many owners want to hang on for even higher gains. It is basic human greed. Without selling, they have not locked in any gains. Everything that goes up has to come down some time.

Paper gain is as good as no gain.