from: This Blog
This is what characterizes bear markets:
This is what characterizes bear markets:
- Sellers are in control
- Oversold often stays oversold for a long time
- Markets drop a lot faster than they go up
- Bear markets burn and churn accounts with long only exposure
- Volume and liquidity can dry up but price can still drop significantly
- ‘Cheap’ can get a lot ‘cheaper’
- Hope is slowly destroyed
- Vicious bear market rallies try to suck in traders to trap them
- Expect lots of gaps to the downside
- It takes a long time until market participants throw in the towel
- Either in cash or short
- Sell the rallies mentality
- Do NOT buy the dips
- Do not even think about going long if you are not an active and experienced trader
Posts
3 comments:
respected sir,
please advice on hindalco.hindalco now its neckline if it breaks so horriable.i like hindalco, i am invested in it.
all the point fits in current situation of world and indian markets and it suggests that we r in trap of bear market
sir how do we know bar pyschology? Is there any books for bar psychology
Post a Comment