The day is not very far from reality when we will be seeing blood bath in stock market as S&P 500 is predicted to enter in Bear Market very soon.
This news has already started giving nightmares to investors as S&P 500 is making new lows every day.
S&P 500 has fallen 20% from the high it made in January.
By definition, if an index falls more than 20% from its recent high then it is called Bear Market.
So by definition also Bear Market is not very far from reality now.
Though it is mere prediction and everybody is praying that this should not happen again.
As S&P 500 index is making new lows every day, it may go further down in coming days also.
If you are a small investor then please stay away from this stock market for some time otherwise you may burn your fingers.
In Bear Market, indices and stocks become highly volatile and even slightest negative news can create panic among investors resulting in market crash.
When stock market bleeds, most of investors lose their hard earned money.
This loss can be somewhat neutralized if you know the art of hedging the stocks.
Matthew Luzzetti, the chief U.S. economist at Deutsche Bank said that we may enter in Bear Market in 2023 if this downtrend continues some more time.
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