Question: Could it please be done fully because I don't understand it. Step 1 choose a common stock that has experienced considerable price fluctuations in the
Could it please be done fully because I don't understand it.
Step 1 choose a common stock that has experienced considerable price fluctuations in the past few years. Here are several examples (but there are many others): IBM, Amazon.com, Shopify, and Apple Computer. Find the symbol for the stock and the exchange on which it is traded. Step 2 Visit the Globe Investor website (or a similar site) and gather information on the particular stock and study its trading pattern. You can also visit your library and find the Daily Stock Price Record, a publica- tion that provides a historical picture of daily stock closings. There are separate copies for the various stock exchanges. Step 3 Find four or five days over a period of several months or even a year when there have been major price fluctuations in the stock. (A two- or three-point price change from one day to the next is considered major.) Then research what happened on that day that might have con- tributed to the fluctuation. The best place to begin is The Globe and Mail or The Wall Street Journal. Step 4 Write a short analysis linking changes in stock price to internal and external factors. As you analyze the data, be aware that it is some- times difficult to know why a stock price fluctuates. FOLLOW-UP QUESTIONS Do you see any similarities in the movement of the various stocks during the same period? For example, did the stocks move up or down at about the same time? If so, do you think the stocks were affected by the same factors? Explain your thinking. Based on your analysis, did internal or external factors have the greater impact on stock price? Which factors had the longer-lasting effect? Which factors had the shorter effect? Why do you think it is so hard to predict changes in stock price on a day-to-day basis? indicate your sources
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