Bear market

In the world of finance, the rise and fall of stock prices are a constant, ever-shifting phenomenon. Investors and analysts alike keep a watchful eye on the market's performance, ready to decode the complex interplay of factors that influence it. When stocks take a tumble, it's often met with a chorus of questions: Why did this happen? What triggered the decline? Can it be anticipated or, better yet, prevented?

During each election season, politicians worldwide campaign with the pledge of generating well-compensated employment opportunities. This aspect often serves as the paramount criterion for most voters. Parents support such promises because they envision increased job prospects for their children, while young individuals cast their votes in favor of these policies in anticipation of better employment prospects.

In the world of investing, the stock market has historically been perceived as a realm of prosperity, with the potential for significant returns and wealth accumulation. However, as with any financial venture, market downturns are an inevitable reality that can leave investors scrambling to safeguard their portfolios. While most investors aim to capitalize on market upswings, a lesser-known strategy involves betting against the stock market, profiting from its declines.

Key events:         UK – Average Earnings Index +Bonus (Dec) UK – Claimant Count Change (Jan) USA – Core CPI (MoM) (Jan) USA – CPI (YoY) (Jan) USA – CPI (MoM) (Jan) After a very positive start to the year in global equity markets, many investors are wondering if there is now a fundamental shift in investor sentiment.

To make forex trading as productive as possible and to make trades more accurate, it is recommended to use technical tools, such as indicators. The choice of indicators directly depends on a trading strategy chosen by a trader. In any case, a trader needs to understand what kind of moods are prevailing in the market at a given moment. The two indicators - Bulls Power and Bears Power, which characterize the number of buyers and sellers in the market for a particular trading asset, do this best.

Key events:

Key events: UK – Retail Sales (MoM) (Oct)   Eurozone – ECB President Lagarde Speaks      USA – Existing Home Sales (Oct)   The sentimental background on Friday morning can be called moderately positive. Oil prices are rising after falling the day before, and the mood on global stock exchanges has slightly improved. The markets can look forward to a fairly calm end to the week after the volatility of the previous sessions.

The year 2022 was rich in major shocks and bankruptcies of cryptocurrency projects - after each such event, all assets fall in price simultaneously. The current crisis was no exception: the transformation of FTX, the fourth-largest cryptocurrency exchange by turnover, into a full-fledged bankruptcy in a few days was a shock to investors.

Key events: USA – Core CPI (MoM) (Oct)   USA – CPI (YoY) (Oct)   USA – CPI (MoM) (Oct)   USA – Initial Jobless Claims The U.S. stock market rebounded strongly in October, with the S&P 500 index surging 8.8%. November started slightly less well, with the key U.S. index down 1.68% in the first five trading sessions. Nonetheless, it is obvious now that the large-scale sell-off seen in the stock market during the first nine months of 2022 has stopped, at least for the time being.

Key events: UK – Manufacturing PMI (Oct)   USA – ISM Manufacturing PMI (Oct)   USA – JOLTs Job Openings (Sep)   New Zealand – Employment Change (QoQ) (Q3) Despite the complete absence of any fundamental reasons for the rapid growth, the markets are behaving very positively. The level of negativity in the market sentiment, lately, is so great that it takes just a little bit to accelerate upwards - everyone is hungry for growth. All key indices demonstrated an uptrend of 4% to 8% last week.