Hold or buy and sell more of the same stock?

This is why it's important to have a plan when you enter a trade/investment. It's really hard to give advice without time frames, industry (so we know how covid could affect it short and long-term), etc.

I don't think I understand your final question though. Why would you sell your stock and re-enter, unless you're expecting more downside before some upside, in which case I think you answered your own question. If you're simply talking about freeing up capital elsewhere and then averaging down on the stock in question, then my belief is that averaging down is only acceptable at 2 times.

1. You're a long-term investor. You strongly belief in the long-term health and success of this company so you regularly add more shares, whether that be averaging up or down.
2. You have a trading strategy that involves multiple entries. For example, a stock price is dropping to a price you were hoping to enter. You wanted in at $100/share. It's now at $120. You decide at $110 you will be 1/3rd of the shares you want, you will buy another third at $105, and then complete your position at $100. The reason for this is that if it bounces early, at least you didn't wait so long that you didn't get to see any of the profit on your correct decision about the price going up, even though you didn't get the full position size you wanted because it never dropped that far.

Of course I violate these reasons at times myself because we're all emotional.

That's a lot just to say I don't know what you should do.

 

You're still making no sense. If you are going to sell them right now at the lower price, why would you rebuy them? It would be easier and less commission to just hold the shares...