Since the Spring Festival this year, the stock market can be said to be green. Under the influence of many negative factors, the stock market has fallen sharply, and so has the fund market. Many people feel that the hard-earned money in 2020 will soon be spit out. The fund market experienced bull market in 20 19 and 2020, and bull market in 202 1 year. So many people began to panic, and it was difficult to advance and retreat.

If we can judge the bull market high point and predict the top of the market, we can retreat at the most appropriate time.

It is impossible to accurately predict the top and bottom of the market, but we can analyze some common characteristics of the bull market to help you judge the market.

Generally speaking, the bull market is the time when investment sentiment is the highest, and it is also the concentrated outbreak period of gold fund raising, and new funds, especially equity funds, are in the majority. As the market continues to rise, the money-making effect of equity funds will obviously exceed that of other funds. Investors' eyes are all focused on the stock market. At this time, fund companies will naturally not miss this godsend opportunity and sell all kinds of stock funds in succession. At the same time, the bull market is also the peak of frequent outbreaks of equity funds. The most obvious performance is that from time to time, we can see new celebrity funds or explosive funds, and promotional materials are flying all over the sky.

The frequent emergence of new funds and explosions is a weather vane of the bull market, and the market is slowly approaching the top.

In addition, the bull market has another feature: high valuation. Specifically, many new shares in the stock market are issued at an ultra-high P/E ratio, and the valuations of several market indexes are at historical highs, which can be tested by the history of A shares. For example, in 2007, 2009 and 20 15, the P/E ratio of Shenzhen Composite Index was above 60 times most of the time.