What Is Market Sentiment?
Market sentiment refers to the overall attitude or tone of investors toward a particular financial market or asset. It is often gauged through various indicators such as price movements, trading volume, news, and other market activities. Market sentiment can be bullish (optimistic), bearish (pessimistic), or neutral.
Example: If most news articles about a particular stock are positive and its trading volume is high, the market sentiment is likely to be bullish.
Usage: Market sentiment is closely monitored by traders and investors as it can influence price trends and market volatility. Understanding market sentiment can help in making more informed investment decisions.
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