With all of the talk about the stock market hitting its peak in the past decade, fear mongers are telling people to stop investing in the stock market. These people are referred to as chickens in my book because if you learn how to day trade, you can make money whether the stock market is up or down.
A bull or bullish market means traders are optimistic about future prospects of the stock market and believe that stocks are going to continue to rise. A bull market is when the stock market appears to be in a long-term climb. People also refer to this as longs.
A bear or bearish market is where traders are short selling also called shorting shares they do not actually own. They sell a stock for a fixed price in anticipation of the market falling and when it does they are able to pick up those shares at the lower price and in the process hope to make a profit. A bear market is when the stock market appears to be in a long-term decline.
Chickens are exactly what you would think a chicken is people who are scared to take risks in the stock market. They are not willing to take risks which is what the stock market is really all about.
Pigs are also what you would think of in terms of greedy people who are not patient. These people are high-risk traders and are usually the ones who lose money in the stock market. When they are up really high, they hold on to the stock being a pig or greedy and will not sell when they should and end up losing big time. The bulls and the bears usually get their money from the pigs who play the stock market.
A wolf market is where there are various individuals working together to manipulate the market. There are moderating companies where they run several chatrooms and in chatroom number one and two they will tell everyone to buy, and then in chatroom one only will tell their top paying customers to sell. This is a wolf market and not only is it unethical it is illegal and the SEC will go after these people. In fact, if you do some research on the popular stock trade moderators in the business you will find that many of them have been slapped with SEC fines for doing unethical business practices in the trade market or to their customers.
There is a saying and it is also the title of a song by Chiodos that says, “Bulls make money, bears make money, pigs get slaughtered.” Be a bull or a bear, but not a pig, chicken or wolf. A disciplined informed stock trader will make money when the market is up or down. At www.fastmoneytraders.com we teach you the ins and outs of the stock market, we send out a weekly swing trade watch list and we show you how we make money with shorts and longs. Luke Murray is live on the mic thirty minutes prior to the bell and throughout the day taking you through his trades and sharing his screens live for our chatroom members. All questions can be asked in chat.