Bull or Bear Market?
VectorVest’s Weekly Market Climate Report 1/10/14
VectorVest’s ‘truth chart’ provides an objective way to analyze the macroeconomic state of the market. Basically, the Truth Chart unemotionally answers the question: are we in a bear market? Or a bull market?
In bull markets, the majority of stocks rise and investors can hold long-term positions with higher probability of gains. A bear market is just the opposite—owning stocks comes at much higher risk and investors should take defensive actions to protect their portfolio from catastrophic losses like those seen in ’08.