By Katie Gomez

Ever wanted to take the leap from a financial spectator to an active participant, changing the course of your financial future? If you’ve already begun to tread the exciting yet unpredictable world of stock trading or any investment-related sector, this post is especially handcrafted for you.

Nested in each newbie investor’s journey are a set of mantras and messages that are consistently discussed. Yet, one particular principle often seems to find itself relegated to the library’s bottom shelves – seldom talked about, less buzzed, yet highly potent, and no less in fact, a recession-proof strategy.

I’m 23 and began my stock trading journey in earnest just this year. Out of the myriad tips and tricks that littered my way, one stood out – so simple that it’s profound. It warrants deliberate attention and constitutes the crux of what we’re delving into in this piece. The magical mantra is “Don’t be afraid to sell.”

Over-Action Vs. Under-Assertion

Stock trading comes loaded with actions. It’s about that meticulous study, crafting the perfect plan, artfully executing that plan with precision timing, and then repeating the cycle. We debate, deliberate, and toss around questions like, “How should we act?”, “What’s the next move?”, “When and what should we buy?” The focus is so heavily pinned on the “action” that we often lose sight of the need to sometimes sit back and let things be.

I spent the better part of the last couple of months in this very cycle – floundering, spiraling, constantly on the move. However, the best move I executed didn’t involve a dime or a swift click of the ‘buy’ button. It involved the opposite – hitting ‘sell’.

My mantra, then, revolves around a simple strategy: sell, wait, and watch the markets correct themselves.

The Balancing Act: Knowing When to Sell

Ironically, selling – that which often symbolizes defeat – turned out to be a winning card in my investment deck. It’s simple; yet breathtakingly strategic in its capacity to pivot your mindset as a new trader or investor. It is by no means a prediction of doom or a pessimistic stance, but a call to caution, to patience, and to the wisdom of understanding when to hold back.

While the economy ebbs and flows, stock markets move variably, sometimes to a point where the best move involves stepping back rather than jumping into the apparent chaos. A critical part of adopting this “sell and wait” strategy is discerning the intricate patterns that markets often portray, and understanding that it’s okay to sell and sit out while the market tends to itself and settles down.

So, the next time you face the deluge of decisions that come with acting amidst a frantic market situation, remember the overlooked mantra that could change your investing game: Don’t be afraid to sell. In the grander scheme of things, stepping off the field might just redefine your trading strategies and establish you as a mindful, discerning investor. So, be that investor – unafraid to sell, and savvy enough to succeed.