I took profits on many names once I saw the weakness in major indexes. I ended up starting new positions in YHOO and LGF -- both co's that rejected buyout offers and are much lower. My strategy here is to take a lot more heat because I know the value is there. One stock I took a beating on is LTON -- another value name that I let slide and I ended up taking far too big a loss because I thought it was cheap. Big mistake. I had bought ERY as well and ended up selling it far too quickly, giving up over 1.30 in upside instead of letting it go. The key was that it went green immediately and that's always the first sign the trade is going to be successful. My sale of OPWV at the first hint of trouble was the best loss I took so far -- saving over a grand and a lot of heartache.
Taking the quick loss is a very important strategy. To hold on is to fail. Always remember to bail on the first sign of trouble. You will be happier.