Definition:
In stock market terminology, 'Bulls' are investors or traders who believe that the market or a particular stock will rise in value. They are optimistic about the future price movement and expect an upward trend.
Characteristics of Bulls:
- Optimistic Outlook: They expect prices to increase.
- Buying Sentiment: They purchase securities with the hope of selling them at higher prices in the future.
- Confidence: They have faith in the economy, company performance, or market conditions.
- Long Position: They typically take long positions (buy first, sell later).
Why the Name 'Bull'?
The term comes from how a bull attacks—by thrusting its horns upward into the air. This upward motion symbolizes rising prices and an optimistic market.
Bull Market:
When bulls dominate the market, it is called a "Bull Market"—a period of rising prices and investor confidence.
Example:
If a trader buys shares of Reliance Industries expecting the price to rise from ₹2,500 to ₹3,000, they are acting as a bull.