The basics
Bear market
A bear market is an extended period when prices fall broadly and pessimism dominates.
A bear market is an extended period when prices fall broadly and pessimism dominates.
A bear market is often defined from a drop of 20% or more. The image comes from the bear, which attacks by swiping its claws downward. Traders can profit from it by short selling.
An index is down 25% from its peak over several months: that is a bear market.
Understanding a term is good. Applying it on a real platform with a clear method is better. That is exactly what we do in 5 days.