What is Bear and bull markets

What is Bear and Bull Markets ?

The terms Bear and Bull Markets are often used to describe general actions and attitudes either of an individual asset or the market as a whole.

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A bull will thrust its horns up into the air, while a bear will swoop down. These actions have been metaphorically attributed to the movement of a market

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If the trend is up, it is considered a bull market and if the trend is down, it is considered a bear market.

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Essentially, the term bull market is used to refer to the stock market, however, it can also be applied to anything that is traded; like bonds, real estate commodities and currency.

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Bull markets generally occur when the economy is strengthening or when it is already strong.

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Examples of bull markets throughout history Post world-war II Rally Housing boom

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The longest bull run in history 2009 to 2020 – nearly eleven years – making it the longest in history.

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The opposite of a bull market is a bear market. It is characterised by falling prices and is typically shrouded in pessimism.

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It typically describes a condition in which securities fall twenty percent or more from recent highs amid widespread pessimism and negative investor sentiment.

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Examples Great depression bear market 1929 stock market crash. 2008 bear market 2020 bear market

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