History and Bull markets
Until this week, the longest bull market in history (and the greatest in terms of gains enjoyed by investors) lasted from November 1990 to March 24th 2000 during the great tech bull market. It lasted 114 months and provided total returns 546%.
The current bull market began in March 2009 following the great recession that laid waste to several major banks and businesses and erased 50% of the S&P 500’s value. Things looked grim and people spoke of the great recession turning into a depression. But, the economy finally began to recover from the financial crisis of 2007-2009 and roared ahead to this day.
This week, the current bull market eclipsed the former bull market record in duration and is now the longest in history. While it’s impossible to predict when bull markets will end, it’s good to know that the current record bull run has a backdrop of solid economic growth underpinning it. Clearly some kind of celebration is in order after what investors endured during the financial crisis.
“History may not repeat exactly, but it does often rhyme”
Source: LPL financial and FACT SET
Learn how to trade call and put bull spreads as an options trading strategy, including examples.
Learn how to use spreads in a falling market, including call and put strategies.
All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
