What is a Bull Market?

A bull market is [Bull Market คือ, which is the term in Thai] a period of a number of months or years throughout which property prices consistently increase. The term is generally used in reference to the securities market; however, it can describe specific markets such as bonds, realty, or forex. It is just opposite of a bear market, in which protection rates regularly fall.

When does a bull market occur?

Determining and measuring bull markets is both art and scientific research.

One common denominator states that a bull market exists when at the very least, 80% of all supply costs rise over an extensive period. Another step says that a bull market exists if market indices increase a minimum of +15%. Of course, different market fields may experience bull markets at various times.

The causes, as well as features of advancing market, vary, but most monetary philosophers concur that both investor sentiment and economic cycles play a role in the production and energy of bull markets. Generally, a strong or strengthening economic situation, shown by high work, high nonreusable income and high business revenues, normally usher in an advancing market.

Increasing investor confidence also suggests an advancing market and is possibly more powerful than any type of economic indicator. When investors believe something is going to occur, a bull market, for instance, their activities can transform it into a self-fulfilling prediction. Although challenging to measure, investor belief can turn up in mathematical dimensions like the put/call proportion, the advance/decline line, IPO task, and the amount of outstanding margin debt.

How to Deal with the Bull Market?

The advancing market usually offers a plethora of moneymaking opportunities for financiers because costs usually increase throughout the board. However, bull markets do not last for life as well as they don’t always offer development notice of their arrival, so the investor needs to know when to buy as well as the perfect time to sell to maximize his or her revenues. This suggests the investor needs to try to time the market, or determine when a booming market has begun and when it is finishing.