When should you sell your stock and make money?

As our ultimate objective while investing is to increase our cash flow. In my view one should divide their stock in two categories namely short term stocks and long term stocks we can hold the former on short term basis and sell them to increase our immediate cash flow and purpose of reinvestment while we can use the later for long term investment and be content on drawing dividends only selling them when fearing loss. This way we can increase our stock flow while also ensuring cash flow.   

All investment operations start with cash and end with cash. If cash at the beginning of an investment is less than the returns at the end and makes up for both time and risk taken, it’s billed as a successful operation.

Even if at peak, most investors find it hard to capture profits and take home that elusive cash. It comes only when you realise your profits.

Some investors prefer to exit when the stock becomes a long-term investment — that is, more than one year of holding period. But things are changing. The proposed changes in tax code may undo the benign tax treatment with long-term investments. Investors should be guided by their net of tax return objective.

If in the short term, the stock price is offering the desired post-tax return, you should consider booking profits and paying applicable taxes rather than holding on to the position only with the objective of qualifying for long-term capital gain incentives. There is a possibility that by holding out for long-term capital gains, the stock price corrects below the purchase price and the gain evaporates.

When market is high and it is necessary to check the stock price. If the stock price is good, then we sell our stock.

Sonali you asked a question for all but the answer of the question can't same. So according to my view i should sell my share when i feel satisfy with return on investment. Not only the value of stock, time period or taxes etc. Because it has decided at the time of investment that i am doing investment for how much time, stock is undervalued or over, what is the fundamentals of company etc etc.

But yeah we should have some flexibility in our plans because it depends on external and internal factors also. for example: Crisis etc.