The main difference between a bull and bear market in Forex trading is the

direction of the market trend ¹ ²:

*Bull Market:*
- A bull market is an economic upturn characterized by increasing employment,
strong economies, and increasing GDP.
- Prices of financial assets increase over a sustained period of time.
- Traders buy instruments to make money from an increase in their price.
- Optimistic market sentiment.
- Strong demand and weak supply for securities.
- Higher interest rates and higher inflation.
- Lower unemployment rates.
- Stable oil prices.

*Bear Market:*
- A bear market is an economic downturn that can lead to a major drop in stock
prices, Forex pairs, commodities, and other financial instruments.
- Prices of financial assets decrease over a sustained period of time.
- Traders sell the holdings of their instruments because there will likely be a
decrease in price.
- Pessimistic market sentiment.
- Weak demand and strong supply for securities.
- Lower interest rates and lower inflation.
- Higher unemployment rates.
- Volatile oil prices.

Both markets can be useful for investors trading in financial markets like stock
indices, currency trading markets, or the cryptocurrency space.