Once in a while a stock comes along that surprises to the upside. When I was assigned shares of Sherwin Williams Stock in August 2011, I had no idea the stock would be on the verge of the greatest run it has ever encountered. In 2012 alone it was up 71%!
But like all uptrends, the time will come when it will end and the stock will commence a downturn. It can take months to even years for this to happen. When it does top out wouldn’t it be nice if there was a simple tool that tells an investor that the uptrend may be ending and it is time to take profits and get out?
This strategy article is from the FullyInformed Members Mentoring Tips section and it presents the Stock Timing Tool I developed which I use for spotting the top in an uptrending stock like Sherwin Williams Stock. Sherwin Williams Stock symbol is SHW and it trades on New York.
When To Sell Sherwin Williams Stock
The chart below shows the uptrend in Sherwin Williams Stock since January 2012. This uptrend actually started in September 2011.
The incredible thing about my stock timing system is that it has kept me in Sherwin Williams stock throughout the entire uptrend including the pullback of October 2012 when it fell 10% from a high around $155 to a low around $138. Yet this stock timing system still advised me there was more to the upside yet and it was not time to sell out.
Sherwin William Stock January 2012 to January 2013
Every Uptrend Eventually Ends
Eventually the uptrend in Sherwin Williams stock will end but I will know when to sell my Sherwin Williams Stock and when to keep holding.
I use this simple stock timing system with my discount brokerage’s automated alerts. Thanks to it sending me an email and a smartphone alert text message, I rarely have to check any stocks that are in longer-term uptrends until I get the alert. This allows me to sleep nights, knowing that stocks like Sherwin Williams are being monitored and I will know when I should sell my stock in Sherwin Williams and look for another stock to take its place.
This FullyInformed Members Strategy Article can be found in the Mentoring Tips category or it can be directly accessed through this link or Members can login here. Non-members can join here.