The Nasdaq Composite COMP eked out a gain Monday, but the advance was enough to meet widely used criteria for marking an exit from a bear market.
The Nasdaq Composite COMP eked out a gain Monday, but the advance was enough to meet widely used criteria for marking an exit from a bear market. Under the criteria used by Dow Jones Market Data and many other market watchers, a 20% rise from a recent low signals the start of a bull market while a 20% fall signals the start of a bear market. That means the market is always in either a bull or bear market. Also, the market doesn’t hop into and out of either a bull or bear each time it crosses the threshold again. It takes another 10% or 20% move in the opposite direction to change the status.
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