Stock Market Terms Based on Animal Names
Here are some animal-based terms commonly used in the Stock
Market and how these animal names became associated with the stock market to
indicate Investor behaviour, market conditions and economic events. These terms
help simplify complex concepts and make them more relatable.
1. Bull:
An investor who believes that the market will rise and buys
stocks with the expectation of selling them at a higher price.
The term bull comes from the way a bull attacks with its
horns, thrusting upwards. This upward motion symbolizes rising stock prices, thus
a bull market is one where prices are increasing and investors are
optimistic.
2. Bear:
An investor who believes that the market will fall and sells
stocks or engages in short selling to profit from declining prices.
Bear swipes its paws downwards when attacking. This downward
motion represents falling stock prices. A bear market is characterized
by declining prices and investor pessimism.
3. Stag:
An investor who buys shares in an initial public offering
(IPO) with the intention of selling them shortly after they begin trading on
the stock market to profit from the short-term price rise.
Stag reflects the cautious yet opportunistic behavior of a
stag animal in the wild.
4. Wolf:
A term used to describe a highly aggressive and unscrupulous
stockbroker or trader, popularized by the book and movie The Wolf of Wall
Street.
Wolf refers to aggressive, high-risk traders who often use unscrupulous
tactics to achieve financial gains.
5. Black Swan:
An unpredictable or unforeseen event that has potentially
severe consequences, often used to describe major financial market disruptions.
6. Chicken:
An investor who is overly cautious and avoids risks,
preferring safe and conservative investment options.
Chickens are known for being fearful.
7. Pig:
A greedy investor who tends to take on high-risk investments
in hopes of making big profits, often without proper research or understanding.
Pigs are associated with greed.
8. Lame Duck:
A company or individual that is in financial trouble and
unable to meet its obligations (bankrupt), often on the verge of bankruptcy.
It often describes companies that are struggling or in
decline.
9. Dog:
A stock that performs poorly and consistently underperforms
compared to the market average.
It’s a metaphor for something that isn’t delivering the
expected results.
10. Whale:
A large investor or trader with significant influence in the
market due to the substantial amount of capital they control.
Whales are large and powerful creatures.
11. Sheep:
Investors who follow the crowd, making investment decisions
based on what others are doing rather than their own analysis.
Sheep are known for their herd behavior, following one
another without independent thought.
12. Hawk:
Hawk refers to a central bank official who favors higher
interest rates to keep inflation in check.
Hawks are known for their sharp vision and aggressiveness.
13. Dove:
A central bank official who prefers lower interest rates to
stimulate economic growth.
Doves are symbols of peace and gentleness. In economic
terms, a dove is someone, usually a central bank official, who prefers lower
interest rates to stimulate economic growth rather than focusing on controlling
inflation.
14. Crocodile:
An investor who holds onto their positions for a very long
time, often waiting for market conditions to turn in their favor.
15. Rabbit:
Short-term traders who make quick trades for small profits,
often in and out of positions within the same day.
Rabbits are known for their quick and nimble movements.
16. Turtle:
Turtles are slow and steady, symbolizing long-term investors
who prefer a cautious approach. They avoid frequent trading and focus on
steady, long-term gains.
17. Ostriches:
Ostrich investors ignore negative market information, hoping
it will go away on its own.
Ostriches are famously (though inaccurately) believed to
bury their heads in the sand when faced with danger.
These terms add a touch of personality and simplicity to the
often complex world of finance, helping to convey investor behavior and market
conditions in an easily understandable way.