what is Bull Market

 Bull Market 

Bull Market is the financial market position of a group of securities in which prices are either rising or expected to rise.
  1. what is Bull Market meaning ?
  2. what should be done if the market is bullish? 
  3. What to take care of while investing in the bull market?  
  4. how profitable it can be to invest in such a market ?
  5. how much risk it can be to invest in the bull market.?
 What is bull market and how it is different from the beer market will learn all in the easy Method.

Bull Market meaning


Bull Market is the financial market position of a group of securities in which prices are either rising or expected to rise.

 The term bull market is often used in the context of the stock market but can also be applied to the market of bonds, real estate, currencies and commodities etc. Since securities prices continue to rise and fall during the trading period, the term Bull Market is generally used for an extended period in which prices of a large part of the shares are rising. The bull market can last for months or even years.

Bull Market  – Psychology


When the investor is optimistic, confident and expects the results of the companies to continue to be better, there is a psychological environment in the market that helps in further boosting the market. It is difficult to predict in advance when the psychology of the market has changed. 
Unlike Bull Market, when everyone else is disappointed, it is called beerish or bear market. No one can tell in advance when the Bull Market will end and when the bearish market will start. This is known only when it has happened.

Bull Market is for Long Run long term


The market trend has not remained the same. Sometimes bullish or sometimes bearish. But one thing to understand is that in the long term, in the long run, the market is always bullish. It is during this Bullish period that sometimes there are long beerish periods. 
The long beerish period also has small Bullish periods. But eventually the market becomes bullish. If the Sensex increases from 100 to 34,000, it means that the market is always bullish in the long run. That is why any investor can invest in this market for a long period of time with a very low risk.

Bull Market is Sign of Strong Economy Identification of Strength


Bull Market usually occurs when the economy is getting stronger or already strong. Strong Gdp (GDP) and unemployment are declining. Often, the increase in corporate profits with it serves as a sanjivani for the market. 

The bull market strengthens investor confidence which further strengthens the market boom. In such an environment, companies bring more and more IPO. More and more people want to buy shares in the bull market but very few want to sell the shares. This increases the demand for shares leading to bullish conditions in the market.

Keep booking profits


While experts in Bull Market always recommend buying and holding shares, investors should always book profits after some interval and sell it or book some profits when the target of the share price is achieved.
Previous
Next Post »

Please don't enter any spam link. ConversionConversion EmoticonEmoticon