What Do The Bull And The Bear Represent? | Traps Retail Investors

Welcome to StayInform Today we will know what do the bull and the bear represent? Did you know that the Indian stock market is not just a financial system, but a living creature. An animal that sometimes sleeps peacefully and sometimes roars suddenly. Sometimes it takes your dreams to heights and sometimes it spends all your money in a day. If this animal is understood correctly, then this animal starts working for you.

What Do The Bull And The Bear Represent?

What Do The Bull And The Bear Represent

Today’s article, we will talk about something that deeply explains the heartbeat of Dalal Street.

Hearing the name Dalal Street, one thinks of a bright place where people dream of earning lakhs and crores of rupees. But for those who know its real meaning, it is not just a street, it is a battlefield.

Where fear and greed clash every day. Here some people wait for a long time, some people bet their lives every day. And the truth is that the biggest player in this market is not money, but emotions.

Market behavior is not just based on statistics and graphs, it is based on psychology. One day, for no reason, the market starts to touch the sky. And one day it falls to the ground for no reason.

The Market Is Nobody’s Father

Why? Because a person thinks and a person is afraid. When an investor thinks that the market is going to go up now, he invests more money in greed. And whenever he thinks that it is going to crash now, he starts selling in panic.

This is why, friends, people do not make the most money, but lose it in emotions. There is an old saying on the street, the market is nobody’s father. It is not under anyone’s control.

Controlling Emotions Is More Important.

Here those people lose who think that they understand the market completely. Santosh Nair says in a book that when a new investor comes, he learns to read charts, follows indicators and trusts the advice of experts. But the real game begins when he learns that controlling your emotions is more important than the charts.

Traps Retail Investors

Here every rumor is a weapon, every decline is a wave of fear, and every quick gives people blind hope. There is another big difference on the street, between small traders and big sharks. Big players often spread rumors, create positions and then trap retail investors and run away.

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Information Is Money

The news that a common man sees on TV is often seen too late. That is why the first lesson of this book is that the market is not a science, it is an art that comes from feeling rather than understanding. There is a very old saying in the stock market, information is money.

And if you look back at the old days of the street, this saying was not just a metaphor, it was a bitter truth. If we talk about the 1990s, then there was no social media, no WhatsApp groups, no real-time news apps. But still some traders entered and exited at the right time.

How? The book says that information was a separate currency at that time. People had their own sources that spread from the company’s boardroom to the ministry’s streets. Even a simple tea seller would often initiate big trades because he knew who was sitting there and what they were talking about.

According To Santosh Nair

Santosh Nair says that trading at that time was done through coded messages and body language. Someone would tell someone, the spice company is smelling a little today. That means there is some big news, buy the stock.

Sometimes to get inside information, bribes, expensive gifts, even dinner invitations were given so that we would be the first to know the news. And all this was an open secret. Many brokers had newsboys who would run up to them before 9 am and whisper which stock was in turmoil today.

And then the same broker would give tips to his clients so that the market would not get into turmoil. But every game has an end. When the Securities and Exchange Board of India(SEBI)started paying attention to such issues, rules were made.

Insider Trading

Insider trading was considered a punishable offence. And gradually, with the advent of digital tracking and surveillance systems, this system became clearer. But the truth is that even today, information is power.

Only the way of getting information has changed. Today, an investor who reads the news quickly and accurately takes it with him. Be it the 90s or today, the news reaches the market first, then the money is made.

When To Buy Stocks, Bearish or Bullish?

Buying in a bear market can be advantageous as stocks are typically undervalued, offering the potential for significant gains.

How To Tell If a Stock Is Bullish?

A bullish trend is generally defined as the creation of new highs and lows in price. Stocks that are at or near their 52-week highs are also more likely to be in an upward trend.

Which Indicator Shows Bullish?

MACD is shows bullish

What Is The Most Powerful Indicator In Trading?

Most Powerful Indicator in Trading are bellow
Stochastic oscillator.
Moving average convergence divergence (MACD)
Bollinger bands.
Relative strength index (RSI)
Fibonacci retracement.
Ichimoku cloud.
Standard deviation

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