I’m sure you heard about this term frequently. But hey, when are we really in a Bear or Bull market?
- A condition whereby the market falls by 20% or more
- Negative sentiments in the market
- Selling continues over a period of roughly 2 months and longer
Some factors: GDP down, high unemployment rate, economy bad, looming recession
Note: Extremely difficult to time the market bottom.
Bull Market (The opposite.. duh)
- Market rallies by 20% or more
- Positive sentiments in the market (Eg, your uncles aunties all talking about what stocks to buy)
- Stock prices keep going upwards!
Some factors: GDP growing, low unemployment rate