Definition of Bull Market

A bull market is a term used for financial market comprising of a collection of securities of expectedly rising prices or that are already being traded on higher prices.

The term “bull market” is another name for the stock market but broadly covers all financial instruments that are being traded, like: T-bills, bonds, currencies and commodities. Bull markets are driven by optimistic approach & confidence of investor with a speculative urge that strong results shouldn’t stop. It is difficult to forecast every time that when will be the trends in the market might shifts but it is a fact that psychological intuitions & speculation play as supreme role in governing a market & becoming a key player .

Bull Market Example
The most productive bull market that came into being was the modern American history started at the end of the stagflation era in 1982 and got ended during the dotcom bust incident that took place in 2000’s.The Dow Jones Industrial Average (DJIA) gained a 16.8% annual returns during the period of this prevailing “secular” bull market . The NASDAQ, a tech-heavy exchange, augmented its value five times between 1995 and 2000, increasing from 1,000 to over 5,000 & this was a tremendous catch.

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