I have bought MGM at the attractive of $10.67. I thought that it was an attractive price at that point in time and the chart shows an uptrend movement. However, to my dismal the MGM stock price eventually drop down to the lowest point at $9. Do I press the panic button and sell? No! I keep my calm and cool as I believe that eventually the price will go up back to the important resistance at $16 (please refer to my previous post at http://www.themarketoracle.blogspot.com/2012/01/mgm-international-to-double-in-2012.html)
As of writing now, MGM has already reached $11.96 for a 12% gained for me. Now the important decision here for me is when should I sell MGM and take profit.
Currently the Victory is Mine!
Current Profit at the MGM price of $11.96 is $6,535
Based on my experience and knowledge, I believe the time is not ripe yet to take profit. I will wait until all the speculators who have chased the stock upward increase the adrenaline rush and make a big push ahead. That will be the time when I will take profit. When there is a big push ahead due to the unreasonable behavior of herd, the price will eventually correct itself before any speculators can continue to push this stock upward to the price of $16. As many speculators will have to cover long their position.
That's it for now, I will update all again when I have sold this stock for the maximum profit, I hope.
Cheers!!
Aiming for $16 seems to be very far of, people might start selling at $15 specially those who positioned themselves at $9. Anyway I think it will still eventually reach $16 since MGM Resorts is a solid company, the question is when?
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