7 Ways to Protect Your Stock-Market Gains

From increasing your cash holdings to buying options, we show you how to guard against a correction -- or worse.

Feeling queasy? After soaring for more than six months, stocks have started to wobble lately. Despite the recent indigestion, stocks remain way above their March 9 lows. The Dow is 63% above its nadir, while Standard & Poor’s 500-stock index and the technology-happy Nasdaq are up 67% and 72%, respectively.

Clearly, stocks could not continue to rise indefinitely at their earlier pace, and some would argue that a correction is not only inevitable but also healthy. So maybe the market will drop a few hundred more points and then resume its ascent. But what if things get worse first?

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Contributing Editor, Kiplinger's Personal Finance