Definition |
Expecting prices to rise or market to go up. |
Expecting prices to fall or market to go down. |
Market Sentiment |
Positive, optimistic, confident. |
Negative, pessimistic, fearful. |
Investor Behavior |
Buying or holding assets expecting gains. |
Selling or avoiding assets expecting losses. |
Typical Strategies |
Buying stocks, call options, or going long. |
Selling stocks, buying put options, or short selling. |
Price Movement |
Prices generally increase over time. |
Prices generally decrease over time. |
Market Examples |
Markets during economic growth, bull runs. |
Markets during recessions, corrections, or crashes. |
Psychological Impact |
Confidence and greed may drive prices up. |
Fear and panic may accelerate price declines. |
Media Tone |
Positive headlines, optimistic forecasts. |
Negative headlines, cautious or bleak forecasts. |
Risk |
Risk of price reversals or corrections. |
Risk of sudden rebounds or short squeezes. |
Opportunity |
Good time to invest and accumulate assets. |
Opportunity to buy undervalued assets or hedge. |
Duration |
Can last months or years during market expansions. |
Often shorter but sharper during downturns. |
Examples |
2003-2007 India bull market, 2020 post-COVID rally. |
2008 financial crisis, March 2020 COVID crash. |
bullish vs bearish