What does bullish and bearish mean in forex?

Solution
When the market makes a bullish move, this means it is moving upwards, and when it makes a bearish move, this means it is moving downwards. Bulls are usually people who have bought a certain currency pair or financial instrument (or those who expect it to go up), and bears are those who sold the instrument or expect it to go down.

The names come from the typical movements of a bull and a bear. A bull usually butts up his opponent whereas a bear smacks his victim down. In the same sense, bulls want to take the price up, and bears want to take the price down. The price eventually moves in the direction of the strongest of either one of those two sides.

bull-market-bear-market-forexpeacearmy.jpg


When talking about markets, a bull market is a market that is...

ele020

Sergeant
Messages
196
Few decent answers here already. Generally, bullish is price up and bearish price down. But their use can be misleading. You can have a bullish engulfing candle on say the 1hr chart but the trend still be bearish on the 4hr or daily and vice versa.
A single candlestick does not denote a bullish or bearish trend, numerous candlestick when observed together form a trend. Selecting a time frame depends completely on your trading technique. If you are are doing short term trades then small time frames work, but for long term trades you need to have a good idea of the ongoing trend using wider time frames.
 

MikoL

Recruit
Messages
27
Being long, or buying, is a bullish action for a trader to take. Put simply, being a bull or having a bullish attitude stems from a belief that an asset will rise in value. To say "he's bullish on gold," for example, means that he believes the price of gold will rise.
Being bearish is the exact opposite of being bullish—it's the belief that the price of an asset will fall. To say "he's bearish on stocks" means he believes the price of stocks will decline in value.
 

Doomsinger

Private
Messages
28
Speaking about forex trading, bullish currency pairs refers to one where its value is rising, whereas a bearish pair refers to one where its value is falling. Basically, bullish market are upward-moving, while bearish markets are downward-moving. Bull markets have some significant characteristics such as the increase in price, positive sentiment which are occuring as well as the positive economic backdrop. Bear markets have opposite characteristics such as decrease in prices, negative sentiment as well as the economic backdrop is weakining. Bearish markets may cause prices to swing violently, which can also last as long as months or years.
 
Top