Bull definition

A bull is a trader or investor who expects a market, sector, or instrument to rise, and a bullish view is that same expectation of higher prices. A bull holds a positive outlook and may buy or hold to profit when prices climb.

A bull bases the view on signals such as strong earnings, improving economic data, lower interest rates, rising demand, or upward technical momentum. A bull then buys assets, holds long positions, or adds market exposure.

Bull is the opposite of bear. A bear expects prices to fall, while a bull expects prices to rise. A sustained rise of around 20% or more from recent lows is called a bull market.

Bull Example

You believe the Nasdaq 100 will rise because major technology companies are posting strong earnings. You open a long position through an index CFD at 18,000.

If the index climbs to 18,500, the long gains in your favour:

18,500 - 18,000 = 500 points

If the Nasdaq 100 falls to 17,500 instead, the position loses 500 points because the market moved against your bullish view.