a) Bulls

  • A jobber buy shares when prices are low and hold them in anticipation that the price will rise and sell them at gain.

  • When a market is dominated by bulls (buyers predominate sellers), it is said to be bullish. The share prices are generally rising.

  • Therefore the market is characterized by an upward trend in security prices.

  • It signifies investors confidence/optimism in the future of economy.

b) Bears

  • A speculator/jobber who sells security on expectation of decline in prices in future.

  • The intention is to buy same securities at lower prices in future thereby making a gain.

  • When market is dominated by bears (sellers predominate buyers) it is said to be bearish.

  • It is characterized by general downward trend in share prices. It signifies investors pessimism about the future prospects of the economy.

c) Stags

  • This is a jobber found in primary markets

  • He buys new securities offered to the public and believes that they are undervalued.

  • He believes the price will rise and sell them at a gain to the ultimate investors

  • Stags are vital because they ensure full subscription of the share issue.