What does a bull mean in stocks?
Does bull mean buy or sell?
Being long, or buying, is a bullish action for a trader to take. Put simply, being a bull or having a bullish attitude stems from a belief that an asset will rise in value. To say "he's bullish on gold," for example, means that the trader believes the price of gold will rise.
Is bull good for stocks?
Understanding that a bull market signals rising stock prices and a strong economy, while a bear market signals falling stock prices and possibly a weak economy is crucial to any type of investor.Mar 20, 2022
How do you know if a stock is a bull?
What are blue chips stock?
How long do bull runs last?
What is bull vs bear market?
Who would win bull or bear?
What is bull vs bear stock market?
Is a bull a cow?
Which stock is bearish today?
| S.No. | Name | Qtr Sales Var % |
|---|---|---|
| 1. | Tanfac Inds. | 73.25 |
| 2. | Sportking India | 43.54 |
| 3. | Mangalam Organic | 9.26 |
| 4. | Jindal Stain. | 67.71 |
What is the best indicator to use?
- Moving average (MA)
- Exponential moving average (EMA)
- Stochastic oscillator.
- Moving average convergence divergence (MACD)
- Bollinger bands.
- Relative strength index (RSI)
- Fibonacci retracement.
- Ichimoku cloud.
What is a bull in the stock market?
Bull (stock market speculator) A bull is a stock market speculator who buys a holding in a stock in the expectation that in the very short-term it will rise in value whereupon they will sell the stock to make a quick profit on the transaction. Strictly speaking the term applies to speculators who borrow money to fund such a purchase, ...
What is the meaning of bull and bear?
In early usage the terms bull and bear were akin to naming a variety of fraudster, as is made clear by Mortimer, writing about 40 years after the scandal of the South Sea Bubble:
Where did the term "bull and bear" come from?
An early mention of the terms bull and bear appears in the 1769 edition of Thomas Mortimer 's book Every Man his own Broker, published in London, as follows, relating to speculators operating in Jonathan's Coffee-House in Exchange Alley (the original London proto-Stock Exchange):
What are the characteristics of a bull market?
Characteristics of a bull market include: A prolonged period of rising stock prices (usually by at least 20% or more over a minimum of two months) A strong or strengthening economy. High investor confidence. High investor optimism. A general expectation that things will be positive for an extended period.
What is bull trap?
Bull Traps. Bull investors must be mindful of what is commonly known as bull traps. A bull trap exists when an investor believes a sudden increase in the value of a particular security is the beginning of a trend resulting in the investor going long.
What is the opposite of a bull?
A bear is the opposite of a bull. Bear investors believe that the value of a specific security or industry is likely to decline in the future. A bear market occurs when the market experiences prolong price declines—typically when securities prices fall by 20% or more and there is negative investor sentiment.
What are some examples of bull markets?
Another famous example of a bull market was the extreme run-up in U.S. housing prices in the mid-2000s. It was fueled by easy-money policies, relaxed lending standards, rampant speculation, unregulated derivatives, and irrational exuberance.
What is bullish stock?
Bullish stocks are typically defined as stocks that display a bullish price pattern. In order to identify bullish stocks, there's no substitute for learning the ins and outs of technical analysis. Of course, traders should also familiarize themselves with technical indicators such as overlays and oscillators.
What is bullish reversal?
A bullish reversal is a pattern that represents a price decline, followed by a rebound. Common types of bullish reversal patterns include: Double bottom: Pattern that looks like a "W" which describes a price decline, rebound, yet another price decline, and another final rebound.
Who is Leslie Kramer?
Leslie Kramer is a writer for Institutional Investor, correspondent for CNBC, journalist for Investopedia, and managing editor for Markets Group. Learn about our editorial policies. Leslie Kramer. Reviewed by.
What is the meaning of bull and bear?
In the investing world, the terms " bull " and " bear " are frequently used to refer to market conditions. These terms describe how stock markets are doing in general—that is, whether they are appreciating or depreciating in value. And as an investor, the direction of the market is a major force that has a huge impact on your portfolio.
What is the difference between a bull market and a bear market?
A bull market is a market that is on the rise and where the economy is sound; while a bear market exists in an economy that is receding, where most stocks are declining in value.
Is it bad to invest in a bear market?
A bear market can be more dangerous to invest in, as many equities lose value and prices become volatile. Since it is hard to time a market bottom, investors may withdraw their money from a bear market and sit on cash until the trend reverses, further sending prices lower.
What is a bull market?
A bull market is a market that is on the rise and where the conditions of the economy are generally favorable. A bear market exists in an economy that is receding and where most stocks are declining in value. Because the financial markets are greatly influenced by investors' attitudes, these terms also denote how investors feel about ...
What happens in a bull market?
In a bull market, there is strong demand and weak supply for securities. In other words, many investors wish to buy securities but few are willing to sell them. As a result, share prices will rise as investors compete to obtain available equity .
Why is investor psychology important?
Investor Psychology. Because the market's behavior is impacted and determined by how individuals perceive and react to its behavior, investor psychology and sentiment affect whether the market will rise or fall. Stock market performance and investor psychology are mutually dependent.
What is bull market?
Broadly speaking, a bull market is a sustained period — usually months or years — when prices rise. The term is most commonly used in reference to the stock market, but other asset classes can have bull markets as well, such as real estate, commodities, or foreign currencies. Image source: Getty Images.
What happens during bull market?
Bull markets are often accompanied by gross domestic product (GDP) growth and falling unemployment, and companies' profits will be on the rise.
What are the characteristics of a bull market?
For starters, they generally happen during periods when the economy is strong or strengthening. Bull markets are often accompanied by gross domestic product (GDP) growth and falling unemployment, and companies' profits will be on the rise.
What are the factors that make a bull market happen?
Bull markets are often accompanied by gross domestic product (GDP) growth and falling unemployment, and companies' profits will be on the rise.
What are the indicators of a bull market?
Bull markets are often accompanied by gross domestic product (GDP) growth and falling unemployment , and companies' profits will be on the rise. Additionally, one of the best non-numerical indicators for a bull market is rising investor confidence.
What is the opposite of a bull market?
The opposite of a bull market is a bear market, which is typically defined as stocks falling by 20% or more from a recent peak. Bear markets are often accompanied by recessions, falling investor confidence, and declines in corporate profits.
Where is Matt from Motley Fool?
Matt is a Certified Financial Planner based in South Carolina who has been writing for The Motley Fool since 2012. Matt specializes in writing about bank stocks, REITs, and personal finance, but he loves any investment at the right price.
What is bull market?
A bull market is a sustained rising stock market, sometimes defined as a 20% rally from a recent low. The term can also be used regarding bonds, currencies and other securities. Bulls are optimistic the stock market will continue to rise future and are likely to buy stocks. A bear market is triggered when the market falls 20% from ...
Where did the term "bear market" come from?
But here some theories: Merriam-Webster says the term bear market came first, from a proverb about bearskin sellers in the 18th century : "Don't sell the bear's skin before you've killed him.".
What is the longest bull market in history?
The bull market that started after the 2007 financial crisis is the longest in American history. The Dow Jones industrial average has quadruped during the historic run and the S&P 500 is up over 300%. The financial crisis was the most recent bear market, but the Nasdaq and S&P 500 closed in bear market range in December 2018.
Is there a follow through day for IBD?
According to IBD founder William O'Neil, investors should watch for a follow-through day, which often signals the beginning of a new uptrend. But that doesn't necessarily mean a new bull market has started. Instead, it's a good signal the market could rally into a solid bull market.
How long does a bear market last?
Although the length varies, bear markets generally last eight to nine months, according to CAN SLIM. Corrections usually last just few weeks or months. It's tempting to look for good deals in penny stocks or beaten-up former leaders during a bear market, but investors shouldn't bargain hunt.
How long do corrections last?
Corrections usually last just few weeks or months. It's tempting to look for good deals in penny stocks or beaten-up former leaders during a bear market, but investors shouldn't bargain hunt. But a bear market doesn't mean investors should stay idle.
What Is a Bullish Flag?
Bullish flag formations are found in stocks with strong uptrends and are considered good continuation patterns. They are called bull flags because the pattern resembles a flag on a pole. The pole is the result of a vertical rise in a stock and the flag results from a period of consolidation.
Examples of Bullish Flags
Let's look at some examples of bullish flags appearing on price charts in order to illustrate the concept and how they appear visually.
The Bottom Line
While no one knows whether the market rally will continue or reverse, traders should follow price action and let the probabilities take care of the rest. While all chart patterns are susceptible to false signals and surprise moves, bullish flags are among the most reliable and effective patterns.
Frequently Asked Questions
A flag is a price pattern used in technical analysis that, over shorter time frames, moves counter to the prevailing price trend observed across a longer period on a price chart. It is named because of the way it reminds one of a flag atop a flagpole.
What Is a Bull Trap?
A bull trap is a false signal, referring to a declining trend in a stock, index, or other security that reverses after a convincing rally and breaks a prior support level. The move "traps" traders or investors that acted on the buy signal and generates losses on resulting long positions. A bull trap may also refer to a whipsaw pattern.
Understanding a Bull Trap
A bull trap occurs when a trader or investor buys a security that breaks out above a resistance level—a common technical analysis-based strategy. While many breakouts are followed by strong moves higher, the security may quickly reverse direction.
Example of a Bull Trap
In this example, the security sells off and hits a new 52-week low before rebounding sharply on high volume and lifting into trendline resistance. Many traders and investors jump on to the move, anticipating a breakout above trendline resistance but the security reverses at resistance and turns sharply lower from these levels.
Overview
A bull is a stock market speculator who buys a holding in a stock in the expectation that in the very short-term it will rise in value whereupon they will sell the stock to make a quick profiton the transaction. Strictly speaking the term applies to speculators who borrow money to fund such a purchase, and are thus under great pressure to complete the transaction before the loan is repayable …
History of the term
An early mention of the terms bull and bear appears in the 1769 edition of Thomas Mortimer's book Every Man his own Broker, published in London, as follows, relating to speculators operating in Jonathan's Coffee-House in Exchange Alley (the original London proto-Stock Exchange):
"A Bull is the name by which the gentlemen of 'Change Alley choose to call all persons who contract to buy any quantity of government securities, without an intention or ability to pay for it, …
Quasi-fraudster
In early usage the terms bull and bear were akin to naming a variety of fraudster, as is made clear by Mortimer, writing about 40 years after the scandal of the South Sea Bubble:
"Notwithstanding all the wise precautions hitherto taken, only the more palpable and glaring frauds have been entirely suppressed. The Bubbles are indeed burst, and the Race Horses of Exchange-Alley long since dead, but Bulls and Bears still subsist in their original vigour and full s…
Early example
Mortimer gives an example of a bull as follows:
"Thus a man who in March buys in the Alley £40,000 four per cent annuities 1760, for the rescounters in May, and at the same time is not worth ten pounds in the world, or, which is the same thing, has his money employed in trade, and cannot really take the annuities so contracted for, is a Bull, till such time as he can discharge himself of his heavy burden by selling it to anothe…
Sculptures of stock-market bulls
Several bronze statues of bulls representing positive investor sentiment exist near the locations of several stock markets or brokerage houses, for example:
• Charging Bull, a bronze statue by Arturo Di Modica at Bowling Green, Manhattan, New York City
• "Bulle und Bär sculptures by Norbert Marten in Viersen, Germany
Sources
• Mortimer, Thomas, Every Man his own Broker, or, A Guide to Exchange-Alley, 7th Edition, London, 1769
What Is A Bull?
- A bull is an investor who thinks the market, a specific security, or an industry is poised to rise. Investors who adopt a bull approach purchase securitiesunder the assumption that they can sell them later at a higher price. Bulls are optimistic investors who are attempting to profit from the upward movement of stocks, with certain strategiessuited...
Understanding Bulls
- Bullish investors identify securities that are likely to increase in value and direct available funds toward those investments. Opportunities to assume the position of a bull investor exist even when an overall market or sector is in a bearish trend. Bull investors look for growth opportunities within the down market and may look to capitalizeshould market conditions reverse.
Bullish Characteristics
- Characteristics of a bull market include: 1. A prolonged period of rising stock prices (usually by at least 20% or more over a minimum of two months) 2. A strong or strengthening economy 3. High investor confidence 4. High investor optimism 5. A general expectation that things will be positive for an extended period
Bulls and Risk Mitigation
- To limit the risk of losses, a bull may employ the use of stop-loss orders. This allows the investor to specify a price at which to sell the associated security should prices begin to move downward. Additionally, these investors may purchase puts to help compensate for any risk present in a portfolio. Bulls can also use diversification to mitigate risk. By spreading investments across dif…
Bull Traps
- Bull investors must be mindful of what is commonly known as bull traps. A bull trap exists when an investor believes a sudden increase in the value of a particular security is the beginning of a trend resulting in the investor going long. This can lead to a buying frenzy where, as more investors purchase the security, the price continues to inflate. Once those interested in purchasi…
Bull vs. Bear
- A bear is the opposite of a bull. Bear investors believe that the value of a specific security or industry is likely to decline in the future. A bear marketoccurs when the market experiences prolong price declines—typically when securities prices fall by 20% or more and there is negative investor sentiment. If you are bullish on the S&P 500, you attempt to profit from a rise in the inde…
Examples of A Bull
- Dotcom Bubble
One of the best examples of a bull market was the sharp rise in US technology stocks during the late 1990s. Between 1995 and its highest point in March 2000, the Nasdaq Indexgained a whopping 400%. Unfortunately, the Nasdaq crashed nearly 80% over the following several month… - Housing Bubble
Another famous example of a bull market was the extreme run-up in U.S. housing prices in the mid-2000s. It was fueled by easy-money policies, relaxed lending standards, rampant speculation, unregulated derivatives, and irrational exuberance. The housing bubble was directly related to an…
Bullish FAQs
- How Do I find Bullish Stocks?
Bullish stocks are typically defined as stocks that display a bullish price pattern. In order to identify bullish stocks, there's no substitute for learning the ins and outs of technical analysis. Of course, traders should also familiarize themselves with technical indicators such as overlays an… - What Is a Bullish Pattern in a Stock Chart?
Some of the more common bullish patterns used by traders and investors include: 1. Cup and handle:This pattern resembles a cup with a handle, where the cup is in a "U" shape and the handle has a slight downward drift. 2. Bullish flag: This pattern resembles a flag on a pole, where the po…
What Exactly Is A Bull Market?
- Usually, a bull market marks a 20% rise in stock prices, which follows a previous 20% decline and is followed by another 20% decline. As you can see from the chart below, there was a bull market that began in 2003 and ended when the S&P 500hit its peak in 2007. ^SPXdata by YCharts. But there's one important caveat: The dates of a bull market can on...
Characteristics of A Bull Market
- There are several things that tend to accompany a bull market. For starters, they generally happen during periods when the economy is strong or strengthening. Bull markets are often accompanied by gross domestic product (GDP) growth and falling unemployment, and companies' profitswill be on the rise. Additionally, one of the best non-numerical indicators for a bull market is rising inves…
How to Invest in A Bull Market
- Regardless of what the market is doing, you should maintain a long-term focus to cultivate long-term wealth. While it can be a smart idea to invest when stocks are cheap, it's unwise to try to time the market. Great long-term businesses can be found in any market. One smart thing to do is learn the principle of dollar-cost averaging. This involves investing equal dollar amounts at speci…
Historic Bull Markets
- As an example, consider the 2009-2020 bull market, which was the longest in stock market history. After plunging as a result of the 2008 financial crisis, the S&P 500 bottomed out in March 2009 and then proceeded to climb until early 2020 when the COVID-19 pandemic sent stocks crashing. ^SPXdata by YCharts. Prior to the latest one, there was a lengthy bull market that laste…