What are stock bear market and bull market?

The stock market is always fluctuating. I believe many investors have heard of the words bull market and bear market. So what are stock bear market and bull market? What if the market fluctuates greatly? Xi Cai Jun has also prepared relevant contents for your reference.

What are stock bear market and bull market?

There are two common stock markets, bull market and bear market. Stock bull market refers to the situation that the stock market is strong, most stocks are in an upward trend, market transactions are active, and a large amount of funds flood into the stock market. The emergence of bull market is usually related to rapid economic development and increased investor confidence. Stock bear market refers to the weakening of the stock market, pessimistic market sentiment, withdrawal of funds from the stock market, and general decline in stock prices. The bear market of stocks is often related to poor economic performance and investors' expectations. Bear market and bull market can be converted to each other, and there is no bull market and bear market all the time.

What if the market fluctuates greatly?

1. When the market fluctuates greatly, investors can adopt long-term investment strategies. Generally speaking, the fluctuation of the stock market is short-term, and the performance of the stock market will be more stable in the long run. Investors can maintain a long-term investment perspective and avoid being affected by short-term mood fluctuations in the market.

2. Stay calm and don't trade emotionally. When the market fluctuates greatly, there may be floating losses, and investors may feel panic or depressed. However, emotional decisions may lead investors to buy or sell at the wrong time. Investors should stick to their investment strategies and don't blindly follow suit.

3. diversify your investment, and don't invest all your money in one or several related stocks. Investors can diversify their funds into stocks of different industries, regions and styles to reduce the impact of individual stock risk on the overall portfolio.