Stock Market Predictors

Brief Description:
  Students will track stocks and the major market indicators for 30 days. They will then chart the value of the stocks along with the market indicators to determine which indicator is best for their specific stock. Then they will try to explain their results.

Main Curriculum Area: Computer

Grade Level: Secondary

Approximate Time Required: 2 hours

Primary Goal and Objective: 3.1

Other Goals & Objectives from the NC Standard Course of Study:
This project is designed for use in Economic, Legal and Political Systems courses.

Other Subjects Covered: Information, Social Studies

Teacher's Lesson Goals/Objectives:
  Students should learn that the stock market fluctuates, and that indicators such as the Dow Jones are only effective for certain types of corporations.

Materials/Resources Needed:
  Newspapers with stock prices for the 30 days of the project

Technology Resources Needed (computer hardware, software, etc.):
  Computer with a spreadsheet capable of charting.

Pre-Activities:
  Discuss the concepts of stocks and the stock market. Explain what indicators are. Introduce students to the major market indicators.

Activities:
  Students will choose a stock to follow. Each day the students should record the stock's value and the value of any 2 of the following: Dow Jones, Standard and Poor's, NASDAQ. They should also record and follow 1 of the following: AT&T, General Motors. After 30 days (not including weekends) the students should each enter their data into a spreadsheet. They should then produce a chart from their data. Students should answer the questions: "Which indicator best predicted the changes in the value of the stock you were following?" "Does your stock follow the major stock?" "Why do you see these trends?"

Assessment:
  Students should answer the questions: "Which indicator best predicted the changes in the value of the stock you were following?" "Does your stock follow the major stock?" "Why do you see these trends?" The resulting answers should be graded based on quality of reasoning.

Supplemental Resources / Information for Teachers (handouts, background information, bibliographies, examples of student work, etc.):
  None listed

Relevant Web Sites:
  None listed

Additional Comments from the Author of This Lesson:
  These materials were developed to support and enhance the use of the 1998 K-12 computer/technology skills standard course of study.

About the Author:
  Originally designed for use at East Davidson High School for Marvine Meyers's ELP Classes.
Developed by Christopher I. Cobitz (NCA&T State University)



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