Bull Market
A sustained period of rising prices, typically defined as a 20%+ gain from a recent low. Optimism and buying pressure dominate.
A bull market is a sustained upward trend in asset prices. The conventional definition is a rise of 20% or more from a recent trough, sustained over at least two months. Bulls are optimistic — they expect prices to keep climbing.
Bull markets are driven by strong economic growth, rising corporate earnings, low unemployment, and investor confidence. They can last years: the US equities bull market from 2009 to 2020 ran for about 11 years.
Not every rally is a bull market. A short-term bounce within a downtrend is a bear market rally. True bull markets see broad participation across sectors and rising volume.
Related Terms
Bear Market
A sustained decline in prices of 20% or more from a recent high. Pessimism and selling pressure dominate.
BeginnerIndex
A benchmark measuring the performance of a selected group of securities — the S&P 500 tracks 500 large US companies.
BeginnerLong Position
Buying an asset expecting its price to rise. You profit when the price goes up; you lose when it goes down.
BeginnerSwing Trading
Holding positions for days to weeks to capture a directional "swing" in price. Balances active trading with manageable time commitment.
Intermediate