Who Is the Bear
The bear is an investor or trader who expects prices to fall and profits from declining markets. The term describes a pessimistic outlook on assets or the broader economy.
What Is a Bear Market
A bear market is a sustained decline of 20% or more from recent highs, often driven by weak economic data, rising interest rates, or negative investor sentiment. Bear markets can affect stocks, bonds, and commodities.
How to Identify Bearish Trends
Bearish trends show lower highs and lower lows on price charts, weakening momentum, and rising fear indicators. Traders use moving averages, volume, and sentiment surveys to confirm bearish conditions.
Understanding the bear helps investors manage risk, adjust positions, and avoid emotional decisions during downturns. For more on market cycles, see Investopedia.
