Q: I have heard that Forex never goes into bear market because there is always something going up and something going down. Is t
A: It is certainly true that
for any given rise in one currency, some other currency must be falling –
and vice versa. That is the duality of the forex market at work. If the US
Dollar is appreciating against the Japanese Yen, you could say it’s in a
bull market while the Yen is in a bear market. The complexity of the forex
market, however, is such that even if the Yen is in a bear phase against the
Dollar, it could be in a bull phase against another currency, like the Euro.
It should be noted,
though, that the US Dollar remains the dominant currency in the market.
Strength or weakness in the Dollar can at times be the biggest factor in
price movements across the board.