What is Bear Market?
What is Bear Market?
Markets in which the price of an investment falls over a continued period of time is referred as Bear market. It generally occurs when the prices of an underlying security drop by around 20% or more from its 52-week high along with a sharp fall in the benchmark index.
In the bear market, according to the Dow Theory, when a stock enters its lower top lower bottom chart structure, it is considered as a weak stock. Lower top lower bottom chart structure occurs when a stock fails to go past its previous high and manages to breach its previous low.
On similar lines, tracking the Japanese Candlesticks, a stock is considered to enter a bearish phase if the time frame is higher than weekly charts, and forms a Gravestone Doji as well as a Bearish Engulfing pattern in addition to various other candlestick patterns.
Markets in which the price of an investment falls over a continued period of time is referred as Bear market. It generally occurs when the prices of an underlying security drop by around 20% or more from its 52-week high along with a sharp fall in the benchmark index.
In the bear market, according to the Dow Theory, when a stock enters its lower top lower bottom chart structure, it is considered as a weak stock. Lower top lower bottom chart structure occurs when a stock fails to go past its previous high and manages to breach its previous low.
On similar lines, tracking the Japanese Candlesticks, a stock is considered to enter a bearish phase if the time frame is higher than weekly charts, and forms a Gravestone Doji as well as a Bearish Engulfing pattern in addition to various other candlestick patterns.
Comments
My question:
What is bull Market?
(i) 20% up from lows
(ii) Higher tops & Higher Bottoms - Dow Theory
(iii) Japanese Candlesticks - weekly candle - Bullish Engulfing pattern