零点课堂 | What Is a Bull Market?(1)

Introduction

Market trends are among the most fundamental aspects of financial markets. We can define a market trend as the overall direction that an asset or a market is going. As such, market trends are closely watched by both technical analysts and fundamental analysts.

Bull markets tend to be relatively straightforward to trade, as they can allow for some of the easiest trading and investment strategies. Even inexperienced traders may do well in really favorable bull market conditions. With that said, it’s also crucial to understand how markets move in cycles.

So, what should you know about bull markets? How can traders take advantage of bull markets? We’ll explain it all in this article.

What is a bull market?

A bull market (or bull run) is a state of a financial market where prices are rising. The term bull market is often used in the context of the stock market. However, it can be used in any financial market – including Forex, bonds, commodities, real estate, and cryptocurrencies. Besides, a bull market may also refer to a specific asset such as Bitcoin, Ethereum, or BNB. It could even refer to a sector, such as utility tokens, privacy coins, or biotech stocks.

You may have heard traders from Wall Street use the terms “bullish” and “bearish.” When a trader says they are bullish on a market, it means that they expect prices to rise. When they are bearish, they expect prices to decline.

Being bullish can often mean that they are also long that market, though that may not necessarily be the case. Being bullish may not necessarily mean that a long trade opportunity is present right now, just that prices are rising or are expected to rise.

It’s also worth noting that a bull market doesn’t mean that prices don’t fall or fluctuate. This is why it’s more sensible to consider bull markets on larger time frames. In this sense, bull markets will contain periods of decline or consolidation without breaking the major market trend. Take a look at the Bitcoin chart below. While there are periods of decline, and a few violent market crashes, it has been in a major uptrend since its inception.

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零点课堂 | What Is a Bull Market?(1)

2021-03-15 20:07:40

Introduction

Market trends are among the most fundamental aspects of financial markets. We can define a market trend as the overall direction that an asset or a market is going. As such, market trends are closely watched by both technical analysts and fundamental analysts.

Bull markets tend to be relatively straightforward to trade, as they can allow for some of the easiest trading and investment strategies. Even inexperienced traders may do well in really favorable bull market conditions. With that said, it’s also crucial to understand how markets move in cycles.

So, what should you know about bull markets? How can traders take advantage of bull markets? We’ll explain it all in this article.

What is a bull market?

A bull market (or bull run) is a state of a financial market where prices are rising. The term bull market is often used in the context of the stock market. However, it can be used in any financial market – including Forex, bonds, commodities, real estate, and cryptocurrencies. Besides, a bull market may also refer to a specific asset such as Bitcoin, Ethereum, or BNB. It could even refer to a sector, such as utility tokens, privacy coins, or biotech stocks.

You may have heard traders from Wall Street use the terms “bullish” and “bearish.” When a trader says they are bullish on a market, it means that they expect prices to rise. When they are bearish, they expect prices to decline.

Being bullish can often mean that they are also long that market, though that may not necessarily be the case. Being bullish may not necessarily mean that a long trade opportunity is present right now, just that prices are rising or are expected to rise.

It’s also worth noting that a bull market doesn’t mean that prices don’t fall or fluctuate. This is why it’s more sensible to consider bull markets on larger time frames. In this sense, bull markets will contain periods of decline or consolidation without breaking the major market trend. Take a look at the Bitcoin chart below. While there are periods of decline, and a few violent market crashes, it has been in a major uptrend since its inception.

声明:本文由 Binance撰写,零点财经收录,观点仅代表作者本人,绝不代表零点财经赞同其观点或证实其描述。