Bulls and Bears – oh my!
January 14, 2021 by admin
Filed under Featured, Forex Tips
Anyone who has flicked through the financial channels on their cable TV box without really stopping to listen to what is being said will probably be occasionally confused by references to “bulls” and “bears”. These terms are common parlance in trading situations, and can be heard or read in any market analysis if you stay tuned long enough. They are not references to sports teams, nor to a traveling zoo visiting a trading floor, but rather to styles of market.
A “bull” market is, in short, a market on the rise. It is characterised by a great deal of investor confidence, which can carry on for an indefinite period of time. When a currency breaks its resistance level, it is expected to continue rising, to move with a singularity of purpose. This is much like the way a bull is characterised. Additionally, it triggers herd behavior, as more and more investors will join in and invest more. The term “bull market” is therefore a good definition of a market behaving confidently.
“Bear” markets, on the other hand, are the exact opposite of bulls. Where prices fall and the investor mood is negative, the support level may be broken and the price will continue to fall. The most common explanation for the terminology here is that when a bear attacks its prey, it tends to do so by striking downwards. For a true bear market to be declared, a majority of currencies need to fall, however a single currency can be described as behaving “bearishly”.
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Denmark’s foreign minister on Monday said he was “deeply upset” by US President Donald Trump’s appointment of a special envoy to Greenland who openly declared that he wished to see the island become part of the United States.
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Trump announced the appointment of Jeff Landry, the Governor of Louisiana, as ?special envoy to Greenland on Monday in a post on Truth Social. “Jeff understands how essential Greenland is to our national security, and will strongly advance our country’s interests for the safety, security, and survival of our allies, and indeed, the World,” Trump posted on his social media platform.
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“I am deeply upset by this appointment of a special envoy. And I ?am particularly upset by his statements, which we find completely unacceptable,” Lars Lokke Rasmussen told Denmark’s national broadcaster TV 2, according to Reuters news agency.
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Rasmussen said he would summon the US ambassador to Denmark in response to the Trump administration’s move, Reuters reported.
Denmark’s Foreign Minister Lars Loekke Rasmussen and Defense Minister Troels Lund Poulsen address journalists in Copenhagen on September 26.
Denmark’s Foreign Minister Lars Loekke Rasmussen and Defense Minister Troels Lund Poulsen address journalists in Copenhagen on September 26. Liselotte Sabroe/AFP/Ritzau Scanpix/Getty Images
Trump defended his decision to pick Landry telling reporters on Monday evening that the US needs Greenland “for national security” and that Landry had approached him about the assignment.
“Louisiana, the Louisiana Purchase. He said I’m governor of Louisiana, and he said I would love … I didn’t call him, he called me. He’s very proactive,” Trump told reporters at Mar-a-Lago.
“We need Greenland for national security, not for minerals. We have so many sites for minerals and oil and everything,” Trump said, trying to make the case for annexing Greenland, despite its status as a self-governing territory of Denmark. “If you take a look at Greenland, you look up and down the coast, you have Russian and Chinese ships all over the place. We need it for national security. We have to have it,” he added.
During his Monday remarks, Trump went on to claim that Denmark has “spent no money” on Greenland and has “no military protection.”
While thanking Trump for his appointment, Landry said it was an “honor to serve you in this volunteer position to make Greenland a part of the US.” He also said that “this in no way affects” his position as Louisiana governor.
Trump has repeatedly stated that he wants to annex Greenland – a huge, resource-rich island in the Atlantic and self-governing territory of Denmark – claiming that this is needed for American security purposes.
Both Greenland and Denmark, a NATO ally of the US, are staunchly opposed to the idea.
Danish Prime Minister Mette Frederiksen and Greenland’s Prime Minister Jens-Frederik Nielsen reiterated their opposition Monday to US plans to take over Greenland, stating “you cannot annex another country. Not even with an argument about international security,” according to Reuters.
“Greenland belongs to the Greenlanders and the US shall not take over Greenland,” they said in a joint statement.
Nielsen said earlier Monday that Trump’s announcement “may sound big, but it does not change anything for us. We decide our own future,” Reuters reported.
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