One of the best ways to avoid regretful choices that are caused by feelings is to know what you are really doing in the first place and understanding every investment decision you make. I would define a bull market as a situation in which the market is cheaply or fairly valued with a strong upward trend intact, whereas a bear market is an environment of overvaluation with a downward trend intact. In a bear market, it would be wise to adjust portfolio mix by investing more in safe investment instruments that generate fixed income, like bonds, debt-oriented mutual funds, etc. First of all, it may be beneficial to admit the fact that nobody can consistently time the market over the long term.

For instance, investors may say that they are bullish towards a stock, which means that they are invested in that stock with the confidence that it’s going to rise in the future. Meanwhile, the Dow and the S&P have slightly exceeded their 2011 highs. "It pays to wait and listen to the market.".

As prices begin to fall investors and traders begin to panic. The Weather Patterns refer to the strength of the current trend as identified by moving averages, price channels, volatility and economic data (among other things). It begins as the market is at it's peak. According to IBD founder William O'Neil, investors should watch for a follow-through day, which often signals the beginning of a new uptrend. See the Best Brokers for Beginners, Smart Money Podcast: Reducing Taxes, and Picking the Best Investing Platform, SmartMoney Podcast: ‘I Got Laid Off.

Most of the time, these associations refer to the condition of the stock market and how the attitudes of investors towards the future look like. A board full of bulletins signaled a strong market vs. when it was bare. And though there is no specific way to identify a bull market, it typically means that the financial instruments of all types, like stocks, bonds, real estate, etc, rise for an extended period of time. On this date the NYSE Composite Index, the Mid-cap Index, the Value Line Index, the Russell 2000, the CRB Index, Silver, and Crude Oil all made highs. Check out this free infographic for 9 buying and selling rules that help you trade like a pro! Doit-on autant se préoccuper du cas de la Grèce ? Get market updates, educational videos, webinars, and stock analysis. Learn them and use them. While this is not always the case in a bull market, it should be remembered that a great deal of activity in the financial markets comes as a result of psychological expectations rather than a strong performance that can be proven by solid economic fundamentals. When evaluating offers, please review the financial institution’s Terms and Conditions. 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.".

Another theory on the bull vs. bear market origin has the term "bull" referring not to the animal but bulletins to buy stocks on the London Stock Exchange in the 17th century.