Market Watch Reflection

Personal Business Finance

Overall Gain/Loss

At the end of the game, my overall gain was $234.48, or a return percentage of 0.23%.

What Place Did you End Up In?

I ended up in 6th place at the end of the game.

Stock Purchase Strategy

At first I was just buying a small amount of stocks in companies that I'm familiar with and am a loyal customer to. After I realized that this lost me a lot of money, I started looking into companies with stock prices that are simply increasing. I also did not buy many shares out of fear that I could lose a lot. This started to work for a while, but then I would end up losing money afterwards because the price would drop back down. Towards the end of the assignment, I looked more closely at the stock trend over the last 5 days. If I noticed that the stock price for a company had just flatlined after a major a price drop, I would invest almost all of my money in lot of shares. This earned me a lot of money, and I was able to get out of the red, and maintain a positive return.

Selling Stock Strategy

For most of the project, I sold my shares in a company after a day because the stock price had dropped and I lost a lot of money. Whenever I lost money, and my return from that company was in the red, I sold all of my shares of stock and picked a new company to invest in. Sometimes I would stick with my shares in a company for about 2 to 4 days, only because it was only losing a small amount, and had the hopes that it would jump up. It wasn't until towards the end of the game that I should have sold shares of stock after I earned a profit, not after I had lost money from the stocks.

Biggest Money Makers

The stock that earned me the most money was Atlassian Corp. PLC CI A. Previous to purchasing shares in this stock, I has an overall return of -$2,144.72. I sold all of my shares and then purchased 5000 shares of stock in this company. I payed $27.02 per share, and had a total investment of $135,077.50 within this company. The next day, I had earned $4,100 form the company, bringing my overall return into the positive numbers, at $2,217. That same day I decided to sell my shares because my return was incredible, and I didn't want the price to drop and lose the money I had earned.

That same day, after I sold my shares in Atlassian Corp. I purchased 1,000 shares in Jarden Corp. for $53.21 per share, and a total investment of $53,210. The next day I earned $2,845 from the company, making my overall return $5,052.68. I then sold my shares in Jarden Corp. so that I would not lose any of the money I had just made.

Biggest Money Losers

I had invested in FedEx towards the end of the assignment. I bought 700 shares for $153.96 each, and a total investment of $107,772.00. The next day, I had a return of -$4,802.00. This brought my overall return from $4,542.68 down to -$279.32.

What trends did you notice throughout?

A trend that I noticed from the assignment is that stock prices for many companies don't dramatically change. Usually stock prices fluctuate in small amounts over a period of time. Dramatic changes in price happen usually happen over time, and not all at once.

What resources did you use to make your decisions?

Often times I would just look on the Market Watch website to see the trend of a company's stock price from the past couple of days, and then I would make my purchasing decisions off of the trend. I would sometimes use Google to search for a company's abbreviation used on the stock market.

What did you learn?

I learned only a few strategies if I were ever to invest in stock. I learned that it is best to purchase stock when the price is flatlined, or has just started to go up. Investing in stock that already has gone up a ton in price is not the best thing because typically the price is soon to fall back down, and you could lose money. When your investing in stock, it is always best to invest in a company that ha just began in upward trend in their price, and then to sell that price after it increases before it falls again. The stock market is always unpredictable, and anything could happen. Risk is always involved whenever your invest in the stock market.