Bulls and bear market

Importance of bulls and bear market !!!

Importance of Bull and Bear market

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Before knowing the importance of Bull and Bear market a person or an investor has to know the concept of Bulls and Bears. Without proper concept of Bulls and Bears an investor or person is likely to get or opt out of the share market. Bulls and Bears is basically increase or decrease in prices of shares. Bulls as it are the people who accept a high rise in the prices of the shares or stocks. Bear as it the people who except a fall in the prices of the shares or stocks so that they can buy back the shares. So let us have a look about it in details

Bull Market
Bull is very important in a share market or stock market. In this period the Gross Domestic Product (GDP) is raising at a faster rate and at the same time the value of the shares or the stocks are also rising at a faster rate. Purchasing share or stock in the bull market is easier as its price is increasing at an increasing rate. Investors during this period earn a lump sum amount of money. In this period who ever buys shares , he is said to be a “Bull” and said to be a “Bullish Outlook” as he believes that the shares will go up like nothing and flourish . In bull phase the investors are demanding shares more and thus the prices shoot up at an all time high. They earn a lot of money in this period. This period is the most important for any country as the per capita income of the country is increasing and there are employment opportunities for the people of the country.

Bear Market
Bear is very important in share market or stock market. In this period the economy is worst or bad and at the same time the prices of the share or stock is coming down. Profit is decreasing at a decreasing rate. In this period who ever believes that the stocks will go down , he / she is said to “bear” and he / she is said to have “Bearish Outlook”. In this bear phase the investors demand less stocks or shares and want to sell it of the remaining ones as later they would not get a single rupee. This period is the most difficult phase for a country as the per capita income of the country in decreasing and there is an every chance of unemployment in the country and the monopoly market phase out.

Choose the best one for you
You have to be very careful when you choose the best type of shares for you. You should not be in haste to make investment in the market. This is because if you happen to make a simple mistake and buy the non profitable stocks then you might have to lose a whole lot of cash from your pocket. So you need to be serious while making your investment. Research is very important for you and so you have to try your best in getting the best research done so as to get the best profit out of your investment in the stock market. There might be times when you have to incur some losses but this does not mean that you cannot make good profits. So you need to be calm and get the necessary information that would help you to get the ultimate profits from the stocks that you have invested.
Both are important

Thus both bulls and bears are important for a country. Bull increases the Gross Domestic Product and economic growth where as bear decreases the Gross Domestic Product and the economic growth. Bull not only creates monopoly but also helps in employment opportunities and uplifts the standard of livings of the people. Bears, on the other hand, restrict the monopoly of the money. So you have now come to understand the importance of Bull and Bear market. Make sure that you get the best source of information so as to avoid any types of queries that might come to your mind.