The fund's profit-taking goal is to lighten the position when the stock price rises by a few percent or reaches a certain price. Using this method, we can control the profit at a certain height and maximize our own interests.

The concept of profit-taking is widely used in many investment fields. For example, when your stock reaches a certain price and is profitable, you plan to leave and close your position. At this time, leaving is taking profit; For example, in the field of futures, whether you are a long or short trader in the market,

As long as there is a favorable trading direction for you and you feel that you can make a profit, then your departure is also a take profit; Similarly, in foreign exchange, commodities and other commercial fields, profit-making departure can also be called profit-making departure.

Extended data:

Volatility and unpredictability are the most basic characteristics of the market. They are the basis of market existence and the cause of transaction risk. This is an unchangeable feature.

There is no certainty in trading, and all analysis and prediction are only a possibility. According to this possibility, the transaction is naturally uncertain, and the uncertain behavior must have measures to control its risk expansion and stop loss.

Psychological requirement of taking profit: The most important psychological requirement of taking profit is the determination to sell. When the stock price stagflates or falls, investors in the profit-making stage can't be indifferent and don't understand the importance of taking profit. What is lacking now is the determination to stop making profits. Therefore, investors can not hesitate to stop making profits, delay opportunities, and must stop making profits.