Replies to post #3576 on Dalrada Financial Corp (DFCO)

[SPM555]

I think it'll be much more than a 10 bagger but that doesn't mean I won't be selling anything before then. When you have a large position you have the luxury of hedging your bets and selling small blocks along the way, into strength.

For starters, nothing in life is guaranteed. As confident as I am that $DFCO ultimately goes much higher, you never know for sure. Selling in small blocks into strength helps to ensure you lock in profits along the way, lowering your risk as it goes up.

The other factor to consider is liquidity. If you're holding millions of shares and try to dump them all at (what you believe is) the tippy top, you're likely going to have some issues when it comes time to dump. By selling in blocks you let the market digest your sales in an orderly fashion instead of just dumping them at the highs and crushing the momentum, while impairing your ability to sell.

I think $DFCO can get to .50 - 1.00 ultimately but when and if it gets there I won't have my entire position. I always advocate people to sell into strength, especially with a large position, then ride out a portion of the position for the moon (if you think it's possible) with little to no risk as a result of locking in some sales along the way.

I've held stocks that went up 50% or 100% (or more) but I never sold anything because I thought it was going higher, kissing those profits goodbye. I've dumped stocks that went up 50% or 100% (or less) then watched them go on to run 1000% or better. There's no way to time every trade perfectly so I've given up thinking I can sell everything at the top and instead I sell in blocks, into strength.

I'm not selling anything yet but I will sell some shares before .10 in smaller blocks, leaving them on the ask and letting the market gobble through them. Selling some shares doesn't mean you don't think it's going higher, it means you are playing the game to help your overall odds for success, ie locking in profits when they're there but then letting shares ride while simultaneously limiting your risk. You may not maximize your profits on any one trade this way, but your overall winning % and profits will be consistently higher thanks to that approach.