Other than Bears and Bulls, there are 13 animals in the stock market which you’re not aware
A Thread 🧵👇
1/ Every investor is aware about the bulls and bears of the stock market. Only few people know about the full animal kingdom like rabbits, turtles, chicken, pigs, etc. Each animal determined their own specific characteristic. Here are the meanings of each animal.
2/ Bull - The bulls represent the investors who are optimistic (positive)about the future prospects of the share market. They believe that the market will continue to go up.
3/ Bear - Bears are the investors who are totally opposite of the bulls. Bears are pessimistic (negative) about the future aspects of the share market and believe that the market is going to fall.
4/ Rabbits - The term rabbits are used to describe for those who take a position for a very short period of time.
5/ These types of people are called scalpers and try to scalp profits during the day. They are just looking for an opportunity to make some quick profit from the stock market.
6/ Chicken - Chicken refers to those individuals who are fearful of the stock market and stay away from the market. They stay away from the market risks by sticking to traditional instruments such as bank deposits, government securities, etc.
7/ Stags - These kinds of individuals are not really interested in a bull or bear market. They just look out for opportunities. They are neither bullish nor bearish.
8/ For example, Stags can be the traders who buy the share of a company during its initial public offering (IPO) and sell them when the stock is listed. They do stagging with the hope to get listing gains and hence these individuals are called stags.
9/ Pigs - These investors or traders are willing to take high risk. They don’t do any kind of analysis and their investment is always looking out for hot tips and want to make some quick profit from the stock market. Pigs are the biggest losers in the stock market.
10/ An old wall street saying ““Bulls make money, bears make money, pigs get slaughtered” that warns the investors against excessive greed.
11/ Wolves - Wolves are powerful investors / traders who use unethical means to make money from the stock market. Mostly, these wolves are involved behind the scams that move the stock market when it comes to light.
12/ For example, Harshad Mehta can be considered as the wolf of Dalal Street. He was charged with numerous financial crimes that took place in the Securities Scam of 1992.
13/ Dead Cat Bounce - The dead cat bounce slang is used to refer to a temporary recovery during the bear run. This situation is a short recovery in the downfall, post which the downfall will continue.
14/ Interestingly, this phrase has been employed from the explanation that if you throw a dead cat against a wall at a high rate of speed, it will bounce - but it is still dead.
15/ Turtle - The turtles are typically those investors who are slow in actions like slow to buy and slow to sell. They look at the long-term frame and try to make the least possible number of traders.
16/ This kind of investor does not care about the short-term fluctuations and is most concerned with long-term returns.
17/ Sheeps - Sheep are those kinds of investors who stick to one investing style and do not change acc. to the market conditions. The sheep like to be on the side of the majority (herd) and follow a guru. They are not interested in developing their own investing / trading method.
18/ Dogs - Dogs are those stocks that have been fallen down by the market due to their poor performance. Many financial analysts look into the dog stocks closely as they expect these stocks to recover in the upcoming days.
19/ Ostrich - Ostriches are those kinds of investors who bury their heads in the sand during bad markets hoping that their portfolio won’t get severely affected.
20/ These kinds of investors ignore negative news with an expectation that it will eventually go away and will not impact their investments. Ostrich investors believe that if they do not know how their portfolio is doing, it might somehow survive and come out alright.
21/ Whale - A whale is any individual or company who has enough money and power to directly influence the price of stock.
22/ Sharks - Shares are those individuals who are just concerned about making money. They get into the trades, make money and exit from the stock market. The sharks have very little interest in big complicated methods of making money from the market.
23/ Lame Duck - A lame-duck is a type of trader or investor who trades and ends up with a huge loss. Lame ducks have either defaulted on their debts or gone bankrupt due to the inability to cover trading losses.
24/ As you have understood each terminology of animals, which type of investor are you ?
As you each terminology of animals, we have also started our new channels, where you can learn more about finance and stock market investing.
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Complete Guide on Tax Planning in the Case of Bonus Shares
A Thread 🧵👇
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