I have two stocks in my portfolio that are making me consider selling.  I purchased Bank of America ( BAC ) on March 4th at $38.16 per share.  Today BAC closed at $42.46 per share – that’s a total gain of $55.90 ( 13 shares ).  Also, I purchased VDSI at $11.44, and it closed today at $13.74.  Since I bought 43 shares, that’s a net gain of $98.90.

I use Zecco as my brokerage, so I get 10 free stock trades per month – buying or selling.  I still have several free trades left this month, so I wouldn’t owe anything in commissions.  If I sell both positions, I’ll net $154.80 in less than a month.  That’s cold, hard cash – and it’s hard to pass it up.  Especially with Bank of America, because I can see some up and down swings in that stocks’ future.  On the other hand, I think I bought it right, at a good price.  Over time I believe that I’ll come out ahead – even if I weather some ups and downs.

There has to come a point though, when it’s obviously time to sell.  If I had any reason to believe that BAC or VDSI would take a large hit in the near future, you can be darn sure I’d sell them in a heartbeat.  My intention would be to sell now, and re-buy once the lower prices settles in.  That way I would end up owning more shares for the same amount of money.  I don’t see a clear decline in their future though.  Selling now with the intent to repurchase later is risky.  In effect I would be trying to time the market – and no one can do that with any consistency.

In the end, I’ll be sitting on these two stocks awhile longer.  I don’t want to get into the habit of over-trading.  Many lose theirs shirts this way, and a big chunk of cash too.  I’d just as soon relax and see what happens.  I’m confident in my purchases, and believe that they will pay off for me.