Journal 3

One transaction I made this week was selling my 100 shares of JCPenny stock. I sold the JCP stock because while the 52 week range was $23.44 to $41.00 the 3 weeks I've had this stock the has been steadily losing money. Yesterday JCP gained $1.34 a share from the price I bought it at so I jumped in and sold the stock to gain some money back to invest or trade in a different company that would make me money. I bought JCP at $27.13 a share and sold it at $28.47 a share. Another reason I chose to sell JCP because compared to JCP's competitor, Nordstorm, JCP is the worse off company. While JCP is losing money almost everyday Nordstorm has been gaining money almost everyday. I beleive that if I had continued to hold on to my JCP stock the stock would have hit a low of around $24.00.

A second transaction I made was buying Qualcomm as an investment. I bought 200 shares at $50.60 a share. Qualcomm's 52 week range is $42.45 to $59.84. I bought in the middle of Qualcomm's range so the stock has a potential to grow aroung 10 dollars. I believe that the stock will gain about $3-4 because with most people out to get the latest technology and Qualcomm makes a good deal of that technology. Compared to Qualcomm's competitor Ericsson, Qualcomm is trading at a higher price. Ericsson while making good products is worth less than half of what Qualcomm is worth because, while Ericsson was founded 13 years before Qualcomm, Qualcomm only took 8 years to take off as a good company and keep selling products. Ericsoon on the other hand had to wait 21 years before their company really took off but unlike Qualcomm, Ericsson, after 3 years, took a huge dive in company worth from going from trading at over $100 to trading at $3. Qualcomm keep trading a fairly constant rate compared to Ericsson, so Qualcomm is a more reliable stock.