RE:RE:Timing in oil sector can make or break you.A good time was when the whole sector was totally destroyed and stocks dropped to ridiculous levels. Some companies did not survive but the other companies that were not at risk of bankruptcy were a screaming buy.
There was a lot of value in the entire sector. That is why some stocks have multiplied 5 to 9 times. In the beginning, one has to be invested in the stocks that had more tork.
The ones who got out in time during the decline with some cash intact or were not in the sector or had cash to average down benefited from big opportunity.
There are different ways of managing exposure. When the stock prices multiple there are a huge number of options and one should use them wisely. . Once can sell some shares and get the principal investment out with some profit too and then let some of the free shares run to their maximum potential. If the stock gets too extended sell all and buy back a few on a pullback from the profit.
Some profit-taking and rotation in the sector can help to increase the rate of return too and reduce the risk at the same time. Not all stock runs at the same pace. If you think that the stock that you are holding can't double again then take some profits and buy some laggards that may multiply or double.
It is important not to reinvest all the profits in the same sector. There can be serious swings and major pullbacks and the stocks may present good rebuying opportunities.
The future is unknown and it never hurts to take some profit.