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I really need help, stock market project its not real money so just some ideas!?
In economics were doing a stock mark project its obv fake but we have 5,000 dollars to "spend" what are some good stocks to invest in right now, the person that has the most money at the end of the semester gets a 100 test grade, please help!!!!
3 Answers
- PETER MLv 71 decade agoFavorite Answer
I suggest that you look at the daily listing of the stocks that are either listed on the New York sock exchange, the Nasdaq or the American stock exchange or all of them and pick the one stock that has both the highest gain for the day and has a volume of over 5 million shares that was traded on that day. Only use 10 percent of the money you have available to buy the stock. Do this every day until all of your $5000 has been invested. While watching the stock each day, you are to sell any stock when it reaches a profit of at least 20 percent greater than the price you paid for it. Were any of the stocks you have bought to drop and the value is less than 10 percent less than the price you paid for it sell the stock to stop your loss and reinvest the money in another stock that trades the way I indicated above. Every time a stock gains 20 percent or more from the price you originally paid, you take a profit, and every time a stock drops 10 percent from the price you paid you sell the stock to cut your losses. It is important to remember only to buy stocks that traded the previous day with a volume of over 5 million shares. By taking 20 percent profits and cutting your losses your give yourself the opportunity to possibly make 20 percent profit each and every day were each stock to gain by 20 percent. When you look at the quantity of stocks you will have by the time you have completed the semester, you have set yourself up to make a profit that could exceed over 1000 percent over the semester. You will be buying stocks that others are buying, creating a diverse portfolio of stocks, and locking in your gains and limiting your losses on every stock you have in your portfolio. This is called disciplined trading. You stick with a game plan and stay with it without deviating even if you get wind of a stock that someone thinks will go up dramatically. You have a plan and it is yours and you will not allow yourself to be swayed by anything anyone else says about a particular stock. I suggest you try this for two months to see where you are at in the way of profits. Were you to lose more than you gained then just buy Ford stock with the symbol F as this stock trades over 40 million shares a day and Ford is the most secure and financially stable of all U.S. auto companies. And were you to buy shares of Ford you can sell covered calls against the shares you own to lock in profits at a strike price above the price you paid for each 100 shares you own, as 1 option contract is worth 100 shares of stock. I suggest doing a Google.com search or a Bing.com search and type in the words covered calls to learn about covered calls and you might want to learn what calls are and what puts are, as they are both tools to help investors make money and lock in profits. Using calls and puts as part of your trading is a good way to make more profits than by buying the stock itself as you will create leverage so you can use less money to buy and control more options than you could were you to buy the stock itself. I think it is a good idea that your economics class is teaching students about the stock market, as this is the only way people are going to be able to invest for the future because a lot of companies are not going to be offering a retirement benefit to employees and it will be up to the employee to either invest in a 401K or an IRA to have money for retirement. The sooner one starts investing in the stock market, and the longer one continues to invest in a 401K or an IRA, the more money will be available for retirement. Good luck and have fun learning the stock market. What you learn about stocks and the different methods of investing will benefit you for the rest of your life.
Source(s): I referenced google.com and bing.com. My opinions are bssed on my life experiences and the fact that I have been investing in the stock market for 48 years. - ?Lv 45 years ago
Keep this in mind.... When is the contest over 1 month, 3 month, 9months or is it the first team to reach the goal? What about if you got your stocks to double would you get extra credit for that? Think about what will likely go up/sell alot within that time frame, have a hot new product out, new service that will changethe industry.
- Lux da CandelaLv 61 decade ago
well I wanted to invest in the stock for a while..anyway I do know that the best stocks are the ones in the health care field..also, Apple has good ones...
why dont you see which companies have a new medicine or a new product coming out.
new products, that have a demand, will be the best stocks to buy
there are also many stocks that are stable..these I cant tell you of the top of my head but seems to me like google and yahoo must be good ones that are stable