Bull market is financial market with rising asset prices that fueled by investors optimism, confidence and expectations. While bull markets are partly based on actual investment performance. They are also partly based on investor psychology. The bull market gets its name from the way a bull thrust its horns up work. When investors are optimistic about investment performance they are called bullish. The term bull market can be applied to a market as a whole, such as overall stock market or bond market or to a specific security such as shares in a publicly traded company or a particular commodity such as Light, Gold and Crude oil.
A bull market is long term trend lasting several years. It usally occurs when a country’s overall economic performance is strong and unemployment is low. In a bull market demand for securities exceed supply which drives share prices up. People also have more money to spend in wall market which improves company’s profitability and further drives up share prices.
The united states has experienced 12 bull market since the Great Depression. Bull markets last four different lengths of time and experience gain at different paces. The strongest one lasted from December 1987 through March 2000 and experienced 582% gains over 148 months. this was also the longest bull market. The shortest began in 1932 and last just for 14 months gaining 177%. The bull market that included the housing bubble which lasted from October 2002 through October 2007 saw 101.5% gain over 60 months. The median bull market experiences gain about 3% per month.