With the aggressive increase in the market for a while, sales begin to decrease gradually and the appetite of buyers starts to increase. Along with the increasing investor confidence, it can also be defined as a stock market trend that is taken for granted in the long run.
In the Bull Market, when investors enter into optimistic expectations for the future, they take more risk and increase their investments. In the Bull Market, optimism prevails. Negative news is not allowed to spoil the mood.
The bull market is the process of entering the stock markets of abundant money, inflating prices and leaving it in the hands of novice investors who buy from the highest point . It starts with the exhaustion of the positive expectations of the lost investors and the big investors buying the asset whose prices have lowered.
This stage is also known as the "collection stage." Seeing the movement in prices with its ending, other investors also accompany the buying wave. In addition, at this stage, news are published that will turn the expectations that the decrease is over, positive. With the effect of the news, the perception of the masses also changes and the buying wave spreads to the smallest investor. The movement continues until there is no receiver.
The bull market often ends with the onset of a bearish wave that has the power to push all end buyers out of the game. Research results have shown that historically bull markets have longer duration than bear markets.
Accordingly, the Bear Market takes 1.4 years on average and the Bull Market takes 9 years. In the bull market, the expectation for a high return on investment is dominant.
Bull Market Examples
II. After World War II: As a result of the rapid economic growth experienced after the war in the USA, which came out from World War 2 as one of the two superpowers of the world, the cold war years
After 1987: After the collapse of the US stock markets in 1987, known as Black Monday, until the http://dot.com crisis in 2000, a long-running bull market was dominated by the rapidly growing US economy.
And what do you think about Bull Market?Will we see Bull Market in last days of 2020?You can write a comment :)
