Markets and animals. Bull and bear markets

The bear and the bull are the most commonly used symbols in the stock market. But... What do they really mean? Have you ever heard about the bull and bear market?

Both are used to refer to the dominant characteristics of financial markets and represent the opposite directions of market trends.

Why the Bull and the Bear?

There are several theories about the terminology of the bear and the bull and although there is no definitive one the best known comes from how each of these animals attacks its opponents.

A bull's way of charging is from the bottom up, while a bear's way of attacking is the inverse, using its enormous claws on its opponents, attacking from the top down.

Thus, market movements are represented by these metaphors: