In this Interactive Qualifying Project (IQP), a ten-week trading simulation was performed using two different trading styles: fundamental trading and technical trading. Rather than trading stocks, the simulation consisted of buying calls and puts, which are otherwise known as option contracts. With an initial amount of $250,000, each team member used one trading strategy exclusively to purchase options. By the end of the trading simulation, the technical trading style had lost 6.95% of the starting funds while the fundamental trading style made a modest 0.44% profit. As a result of the trading simulation, the team members were able to further expand their understanding and experience with the stock market to build a better foundation for potential future investments.

• This report represents the work of one or more WPI undergraduate students submitted to the faculty as evidence of completion of a degree requirement. WPI routinely publishes these reports on its website without editorial or peer review.

Creator

• Mugo, Carlton
• Stearns, Liam J.

Subject

• Industry
• Project-Based Learning

Publisher

• Worcester Polytechnic Institute

Identifier

• E-project-040821-194543
• 17306

Keyword

• Stock Market
• Investing

Advisor

• Tang, Dalin

Year

• 2021

UN Sustainable Development Goals

• 8 - Decent Work and Economic Growth

Date created

• 2021-04-08

Resource type

• Interactive Qualifying Project

Rights statement

• In Copyright

License

• All rights reserved