What is a Bull Market

What is a “Bull Market”?

Definition: Bull Market or Bullish

A Bull is a speculator that believes that prices will rise in the market. The economic outlook is overall positive and that stocks will go up. If the entire market is trending upwards it is considered to be a bull market. An optimistic outlook on the future.  

Origin

There are different theories on where the term Bull or Bull Market found its origins.

One explanation is that when a Bull attacks by thrusting its horns upwards. Similar to an individual stock price rising.

The second theory dates back to early trading days. Middlemen would sell bearskins they had yet to receive and speculate on the future price. These middlemen would hope that the price went down so that they could profit off the spread between the two prices. Hence the term Bear was born, or bear market.

Throughout history bull and bear fighting was a common blood sport. The two animals were widely considered to be opposites in the sport of battle. Since a bear represented a market downturn, a bull became a representation of the opposite, a rising market.

Today both terms are still commonly used industry wide to describe market conditions. A bronze statue of a bull stands outside the New York Stock Exchange on Wall Street in New York City. It has frequently been a target for hilarious vandalism. In 2018 someone decorated the bull with dildos as a protest.

Bullish and bearish are also related terms that describe market conditions. To be bullish on a stock is to have a belief that the price will go up. To be bearish on a stock implies that you believe the price will go down.

Due to their contrasting views on future prices, bulls and bears continue to spar. This is especially apparent during the early morning hours before market open on sites like Wall Street Bets. It is common to see the two groups fighting which creates some highly entertaining feuds.

Bulls are optimistic in a stock’s future price and are therefore more widely appreciated.

Examples

“Bulls are fuk”

”I’m so bullish on this stock”

“Everyone is a genius in a bull market”

An image of the word hashtag bull
Feels good to be a Wall Street Bull.

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