Analysis of the Stock Market Simulation
There are many risks that people take in their lives. Yet, investing in the stock market is one of the riskiest things to do. All the money that has been saved over years, possibly saved over a lifetime, could all be lost in the blink of an eye. The Great Depression was triggered by the most well-known stock market crash in history, another crash happened in 1987, and one could happen any moment. However, people invest to make money and through this simulation strategies and a basic understanding were compiled to get a perspective on the risk and tasks involved in investing.
Although not one of the high-ranking people in the class, the
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I would short sell stocks in the same way. I would view portfolio’s in the ranking’s and invest in companies that were not doing so well and short sell their stock. For the person that had bought the stock it did not turn out well, but, for me, I made a profit. Sort selling always seemed like the best investment for me, because you were happy when the company did poorly. For me, it happened that short selling turned out alright because the company that I invested in has done poorly. Yet, it does not always work that way and I learned that through this simulation. If the company’s prices increase, that is bad if you short sold it because you actually loose money.
Not every investor invests in the right thing all the time. For me that was Exxon-Mobile. There was not a day that I saw the prices rise. They kept dropping and dropping. The one day that the prices seemed to be turning around and I probably should have sold my stock, they dropped again and I lost more money. The healthcare company that I invested in did not turn out too well either. Sometimes the prices went up and the day change was finally green, but they never went high enough for me to make a profit.
If I could start this simulation over, I would learn all there is to know about the companies that I am investing in before I invest in them. I would look at there past history (at least
1. Suppose a researcher wants to design a new study with a power of 0.8 and a significance of 0.05 to test whether the caffeine content for a brand of coffee is really 100mg. A previous study gave a mean caffeine level for this brand of 110 mg and a standard deviation of 7 mg. Use PROC POWER to determine how many cups of coffee need testing.
This report will describe examine the various strategies that were undertaken to successfully complete the Stocktrak simulation. Firstly, an analysis of the US and Chinese markets will be given as they are crucial markets that play a big role in the worldwide economy. Due to the fact that the US economy has been going through a recession, a working knowledge of this economic was crucial to our success. Our initial strategy revolved around timing trades based on daily market performance and expectations using daily market news and reports. While this strategy was successful to an extent, our group soon focused on diversifying our portfolio, not just through the quantity of
As an investor one needs to be immune to the emotions of greed and fear. In a bull market people fall victim to greed. They are afraid that if they don't sell
Read the article Diagnosis Coding and Medical Necessity: Rules and Reimbursement by Janis Cogley located on the AHIMA Body of Knowledge (BOK) at http://www.ahima.org.
At the point of Q1,I chose the workhorse as my first target segment. This is because workhouse is the medium kind of computer, customers will be much more than the other two. People talked about easy to use, low price, after sale service and support and other staffs to pick computers.
For my stock game I invested into seven different stocks. The seven stocks I invested in were Microsoft, Boeing, Cisco Systems, the Clorox Company, 3M, Wal-Mart, and US oil. The reason I invested into these stocks was that their value was dropping or it was low so i was trying to make big gains thinking the stock prices would go up a lot. That didn't seem to be the case because i lost almost $2000. The stock that hurt me the most was my US oil stock. I bought 500 shares of it and the stock went down 23.23% so i lost a total of $1,720 on it. When i bought it i had a feeling that the price of oil was going to go up but it did the opposite and went down. Another stock that i lost money off of was Cisco systems. The stock went down 6.53% since i bought it causing me to
Finally, the Great Depression had warned the current generation of the risks and vulnerability of the stock market. There are several resources to advise us how to invest in stock in an easier, safer and efficient
If we were to repeat or continue this Stock Trade simulation, we would adjust our continuous analysis of each stock to focus more equally in future investment as well as selling current stocks. To effectively be able to sell our current stocks as well as continue to invest in stocks, we would need to condense the amount of stocks that we
Since quarter one was the first quarter of this simulation, I was unaware of how difficult it was going to be to make all the different decisions. Firstly, I had to choose a Company name. Because I was selling computers, I thought that the name “Dev-Tech” was a perfect fit being that this simulation was about development and technology. Next, I had to choose a target segment. I knew going into this simulation that it would be better to invest in the more expensive goods as it would benefit me in the end. The segment that didn’t care about price was Mercedes, so that is the segment that I made my first priority.
The stock I chose was Macy’s Inc., since during the month of July they were doing great and each stock was worth $24.20, highest it’s been for the past 3 months. While having to look at the changes on the stock for almost a month, I noticed that the price per stock was lowered each day after I chose to “buy” part of the stocks. The lows aren’t too low while the highs were always above 1%.
In the Roaring Twenties, people were trying to get rich and have fun. A lot of people poured their money in stock markets, but it backfired. The stocks crashed; this began the Great Depression. This was the worst depression we’ve had yet, it affected more people from higher class to lower class. A depression is a time of decline in business activity accompanied by falling prices and high unemployment. The start of the Depression is usually pegged to the stock market crash of “Black Tuesday,” Oct. 29, 1929, when the Dow Jones Industrial Average fell almost 23 percent and the market lost between $8 billion and $9 billion in value. But it was just one in a series of losses during a time of extreme market volatility that exposed those who had bought stocks “on margin” — with borrowed money.
As for my thought on investing in my company, I am pretty content with my investments in Costco. At the beginning of third quarter I invested a lot of my money into Costco. I quickly found out Costco was a inconsistant company. Some days Costco would be way up in the stock market, and other days prices would plummet. When the game reset for fourth quarter I made sure to only buy one share so that I am not losing too much in one place. Buying one share was a smart decision, because almost everyday the price plummets or
In the beginning of the simulation, I decided to choose my stocks wisely instead of impulse buying the stocks of companies I liked. I chose my stocks wisely by looking at how the stock has been doing over time. The stocks I chose were two shares of AbbVie for 131.82, 4 shares of Panera bread for 993.04, one share of Walgreens for 82.88 and 10 shares of Con.Ed for 784.30
The stock market is a great way to buy part of a company & gain or loose money depending on how the company is making money buy buying a share. “The stock market is owning a small piece of the company; the stock market is owning a piece of a business” (Christie 5). Therefore, investing in the stocks is a great idea when prices are high. Furthermore, it is a hard job to keep up with everything needed to know for the job. Investors and brokers are the one who do the buying
This PowerPoint presentation was prepared by Professor Timothy Luehrman for the sole purpose of aiding classroom instructors in the use of Finance Simulation: M&A in Wine