Missed it by 0.5, but that's why you need to be fluid with price targets, use windows and perhaps a trailing stop. Friday price runs often fall off their highs late in the day purely because day traders don't want to hold over the weekend. Add in a 30% SP rise and the threat of a speeding fine and TH adds further reason for DTs to sell and reassess the following Monday.
Now your faced with fighting enemy number 1 - Greed. Will it push to 50 or settle back to mid 30s? The mental game is the hardest to master. Remember that 6 weeks ago NXM was 10c on 16/8.
From what you have said, you're only looking to take a profit on a parcel, not sell your entire holdings so lets focus on that. What are your financial goals/reasons for selling the parcel? There should be a reason/plan e.g. pay a bill, reduce a loan, reinvest into other specs.
Let's say that you need to replace your car because it is old and breaks down often. You goal shouldn't be just "a new car", it should be specific with financial goals attached i.e.
Options $45K Ford Ranger 2nd hand $65K Ford Ranger XLT $80K Ford Ranger Raptor
With a current SP of 40, you've achieved your first goal level and are not far off your second goal level. You could decide from here to sell a few extra shares and lock in your second goal level. Say you sell the extras and buy the XLT. Your mindset should be that you just used the stock market to pay for a new car, not focused on whether you would have been able to afford the wildtrak if the SP continues to run. You always have the option of upgrading to the wildtrak in the future.
If we use the above parcel for the reinvestment case. You cash out 150000 shares at 40 for $60K. If left in NXM and it ran to $1 then you would have made $150K in a 250M MC company.
You reinvest that $60K into company XYZ which has a similar SOI to NXM but is sitting pre breakout like NXM was on 16/8. XYZ only needs to run to a MC of 63M @ 25 for you to make the equivalent of holding NXM to $1. Which option has the higher probability? Which option is easier for the market to achieve?
Of course you also have the option of splitting that $60K profit into more than one starting parcels/companies. Narrowing and focusing in on your individual financial goals will greatly assist decision making.
GLTAH
NXM Price at posting:
40.0¢ Sentiment: None Disclosure: Not Held
