Yesterday we had a red index and i am expecting this to continue until it hit 6k which is the initial support for the index.
Let us see what bear market is
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Definition of 'Bear Market'
A market condition in which the prices of securities are falling,
and widespread pessimism causes the negative sentiment to be
self-sustaining. As investors anticipate losses in a bear market and
selling continues, pessimism only grows. Although figures can vary, for
many, a downturn of 20\% or more in multiple broad market indexes, such
as the Dow Jones Industrial Average (DJIA) or Standard & Poor's 500
Index (S&P 500), over at least a two-month period, is considered an
entry into a bear market.
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Investopedia explains 'Bear Market'
A bear market should not be confused with a correction, which is a
short-term trend that has a duration of less than two months. While
corrections are often a great place for a value investor to find an
entry point, bear markets rarely provide great entry points, as timing
the bottom is very difficult to do. Fighting back can be extremely
dangerous because it is quite difficult for an investor to make stellar
gains during a bear market unless he or she is a short seller. |
| It says here that it should not be confused with a correction, which is a short term trend that has a duration of LESS THAN TWO MONTHS. therefore, if the index continues to drop for two months or more than two months then we can say that we are in a bear market now.As i can see, the 6k support should hold. If not, we may see this index at 5800-5500 |
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