What is bull market and bear market?

A bull market is a period of time in which stock prices are rising or are expected to rise. It is characterized by optimism about the performance of the economy and the financial markets, and investors tend to have a positive outlook on the future prospects of individual companies and the market as a whole. In a bull market, investors are typically more willing to take on risk and may be more inclined to buy stocks and other securities in the hope of realizing gains.

On the other hand, a bear market is a period of declining stock prices and negative investor sentiment. It is generally characterized by pessimism about the economy and the financial markets, and investors may be more hesitant to buy stocks and other securities. In a bear market, investors may be more likely to sell off their holdings in an effort to minimize losses.

The terms "bull market" and "bear market" are often used to describe the overall direction of the stock market, but they can also be applied to specific sectors or industries. It's worth noting that markets can move through periods of both bull and bear activity, and that the direction of the market can change over time.