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Topic: Benefits of Trading in a Bears Markets
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AuthorTopic:   Benefits of Trading in a Bears Markets
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posted: 11/11/2022 at 3:19:19 PM ET
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Bear Market? Bull Market? Bullish or Bearish? What the heck are they talking about?

OK, remember this is remedial trading. This is the stuff that nobody tells us about. They assume we know. Well, how are we supposed to know unless somebody explains it? From the mouth of a new trader, here is a beginning explanation for you.

Bear Market or Bull Market refers to the overall stock Market and the trend that it is following. If the overall Market is going down, this is called a Bear Market. In general this means that the Dow and the Nasdaq, among others, had more losing trades than gaining trades and their numbers went down. We'll hear something like "The Nasdaq lost 200 points today or, The Dow closed below 12000 today, below its 50 day moving average. This is an indication of a potential Bear Market. If the trend continues in that direction for a period of time, it will become a Bear Market. One day does not determine a Bear Market Why inflation is wrecking the stock market, and what should investors do or a Bull Market in one day.

As for a Bull Market, yes, you figured it out. If the overall Market is going up you're going to hear things like "The Dow was up 50 points today or the Nasdaq winners outnumbered losers by .02 %." This is a potential Bull Market. If the trend continues up then it will be considered a Bull Market.

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