Understanding bull markets helps investors take advantage of growth opportunities. During these periods, stock prices tend to rise, leading to potential gains for traders and long-term investors. A bull market fosters economic expansion and increased corporate earnings. Recognizing early signs of a bull market allows investors to position their portfolios for maximum returns. Additionally, it helps traders adapt their strategies to capitalize on upward trends. Identify strong trends using technical indicators like moving averages and relative strength index (RSI).