Market cycle
Also called: business cycle
The market cycle is the repeating pattern of expansion, peak, contraction and recovery in prices and in the wider economy.
Stock markets often turn before the economy does, because prices reflect expectations about the future.
Related terms
- Bull market: A bull market is a long period of rising prices, often defined as a 20% rise from a recent low.
- Bear market: A bear market is a long period of falling prices, usually a drop of 20% or more from a recent high.
- Recession: A recession is a significant, widespread fall in economic activity that lasts more than a few months.
Practise with $10,000 in play money
Free. No real money involved.
For learning only. This isn't financial advice.