I closed $PDD Holdings Inc(PDD)$  ,I closed $PDD Holdings Inc(PDD)$ ,Taking Profit on PDD: Why I Sold During an Overbought Market Selling stocks to take profit during an overbought market can be a good strategy for several reasons. Reason 1: Avoiding Overvaluation Firstly, an overbought market often indicates that the stock has reached a level above its intrinsic or fair value, making it a good time to sell and take profit. [5] Reason 2: Anticipating a Retracement Secondly, an overbought market can be a sign of a potential retracement or correction, which could result in a decline in stock prices. By selling during an overbought market, I can avoid potential losses and lock in my gains. [3] Reason 3: Rebalancing My Portfolio Lastly, selling during an overbought market can also help me to rebalance my portfolio and maintain a disciplined investment approach. By taking profit during an overbought market, I can reduce my exposure to a particular stock or sector and maintain a more balanced portfolio. [2] My Decision to Sell PDD In my case, selling PDD to take some profits during an overbought market seemed like a good strategy, especially since I think the market might have some retracement before it rises once more. By selling now, I can lock in my gains and avoid potential losses if the market does correct.