What a bear market means for traders

Beginning From 2022, global stock suffered very badly after the pandemic. The market was running in straight line for twenty months. Financial market cracks began to appear in November 2021 NASDAQ fell after nothing a succession of record high. S&P 500 had registered many high records. Since then there is nothing for the Bullish market, May 2022, the NASDAQ and S&P 500 were fell down 31% and 20% from then record high.That was enough for market analysts to short about us Equates. But what is more important to know? Does bear market help Traders?

What is it?
According to Xtreamforex, market fell down 20% from recent height. And it’s amid widespread pessimism and negative investor. Sentiment when security losses a fifth of its value, than it is officially in a bear market. But I don’t know from where its 20% come from, but it’s describe a valuable loss than go with it. But as Xtreamforex expect also state, the market is not about 20% loss. A bear market downfall should be prolonged and amid widespread pessimism.

There is a little doubt; if the value of a market is reduced by a fifth then investor sentiment will be negative but what about the duration of the decline. So conflicting signal goes on from last six months market is getting weaker. But both S&P 500 and NASDAQ have bounce back from its recent low, so possibility is selling could resume. Could it be that we are in far something more protected? Let’s look at two other notable market dotcom crashes, beginning of this century that didn’t happen in single day. Its took two year. Its start falling in March 2000 and continue to October 2002.Because of great financial crises the S&P lose 58% in seventeen months, October 2007 to March 2009. It was depress time for investor. Who saw heavy loss in stocks but were persuaded not to buy due to overwhelming negative sentiment and the something investor are facing now. The S&P 500 hits its low of 666 in March and we still in Bull Market because we he bear in mind. Market has face some major setback most significantly the 20% sells off in S&P between September and December 2018.The biggest settle down was the pandemic.