Individual StocksSelecting Individual Stocks |
How much of an increase in the average price of stocks must occur in order to declare a bull market? |
In order to better understand broad movements in the market—and whether today’s conditions represent buying or selling opportunities—investors characterize increases in the price of stocks in an average by more than 20% from a low as a bull market. It characteristically is a period in which stock prices are rising, profits are increasing, inflation is low, interest rates are relatively low, and money is flowing into the stock market.