Bull market (bull market), trading features

Bull market - this concept suggests that traders who play for an increase in the exchange rate occupy a dominant position in the financial market.

Such traders are usually called bulls, in a figurative sense it is meant that the bulls seem to raise the price with their horns, stimulating growth with all their might.

This behavior is due to the fact that this category of traders has opened purchase transactions and in order to make money, a price increase is necessary.

At the same time, a bull market is characterized not only by an upward trend, but also by a general atmosphere indicating that the exchange rate should continue to rise.

Positive news is published on Internet sites, and the bulls themselves are actively spreading rumors that the price should rise even more.

As soon as you hear the term bull market, you can conclude that there is an intense game on the market to increase the exchange rate; in practice, it is believed that it is the bull market that is most favorable for trading.

At this time, it is recommended to make purchase transactions only; it is not for nothing that this moment on the stock exchange is also called the bull investment market.

When trading using Internet terminals, it is quite difficult to understand what mood is currently prevailing on the stock exchange, because you do not visually see other traders and cannot judge in which direction they are making their transactions.

And in order to accurately say which trend is currently stronger, in addition to the direction of the trend, you also need to take into account the volumes and number of orders opened in a given direction.

Some brokerage companies allow their clients to track these parameters using special informers. And so you can only draw conclusions based on the data available in the trader’s trading terminal.

You can also use indicators to determine the market trend. Trend indicators 

Bull Market Trading Strategy

It’s clear that if the dominant trend at the moment is an uptrend, then you should open your trades to buy, counting on a further rise in price. At the same time, it would be a good idea to analyze the situation on several time frames at once and weigh the possibility of a reversal.

A bull market is the best time for long-term investing and is when investors build their stock portfolios.

When opening a buy deal in a bullish market, you should not forget about stop orders, while setting the stop loss below the opening price, and the take profit correspondingly higher. 

Typically, bull market bullish trading begins with the start of a new trading session, so if you manage to notice a similar trend at this time, you can hope that it will last for at least an hour.

An important point is how long ago the market became bullish, because this determines how long it will last; with every minute of the existence of an uptrend, the probability of a reversal increases. 

You will find a more detailed description of exchange strategies - https://time-forex.com/strategy