Why do we call it a 'bull' or 'bear' market?

Two animals name the mood of every market on earth — and the reason is the way each one attacks.

Up with the horns, down with the paw

The cleanest explanation is physical. A bull attacks by thrusting its horns upward — so a rising market, full of buyers, is "bullish." A bear swipes its paws downward, so a falling market, ruled by sellers, is "bearish." Direction of the strike, direction of the market. It's the simplest way to remember which is which.

The bear came first — and it's a con

The word "bear" has an older, sneakier root. In 18th-century London, "bearskin jobbers" sold bearskins they didn't yet own, betting the price would fall so they could buy cheaper and pocket the difference — the original short sellers. The proverb warned against "selling the bearskin before catching the bear." The name attached to anyone betting on a decline, and the bull was later drafted as its natural opposite.

From mood to structure

A "bull" or "bear" market is just a label for direction — but as a trader you need something more precise than a mood. That's where reading the actual sequence of highs and lows comes in: whether price is making higher highs or lower lows is how you define a trend objectively, the core idea behind market structure (BOS and CHOCH).

The takeaway

Bull and bear are memorable because they're vivid, but they're vague. The animals tell you the story; market structure tells you the trade. So enjoy the zoology — then go read the highs and lows.

Curiosities from ForexCommand, not financial advice. The bull/bear etymology is the most widely cited explanation; some origins are debated.