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While bear markets can prove tricky territory for generating returns, investors can nevertheless make money if they remain focused on the right trading strategies and use the "irrationalities" of the market in their favor, it has been claimed.
Financial services site the Motley Fool said the keys to seeing a pay-off from investments in a bear market are keeping an eye on holdings and having the flexibility to move when opportunities arise.
Often, it added, the "irrational" nature of the bear market can see the price of stocks with solid long-term performance and proven track records become depressed, allowing keen investors to snap up blue-chip shares at low prices before they rally.
Amazon.com, for example, stands at around $88 now after previously peaking at $106 - but in that time, the company's shares have traded for $7.48. Meanwhile, eBay is once again approaching its tech bubble price of $27, having fallen as low as $9.
"Instead of trying to time the market, consider buying great companies when they are trading at good prices - even if it's possible they'll get even cheaper," the site said.
In Focus: Look for 'great companies at good prices' in bear market
While bear markets can prove tricky territory for generating returns, investors can nevertheless make money if they remain focused on the right trading strategies and use the "irrationalities" of the market in their favor, it has been claimed. Financial services site the Motley Fool said the keys to seeing a pay-off from investments in a bear market are keeping an eye on holdings and having the flexibility to move when opportunities arise.
Often, it added, the "irrational" nature of the bear market can see the price of stocks with solid long-term performance and proven track records become depressed, allowing keen investors to snap up blue-chip shares at low prices before they rally.
Amazon.com, for example, stands at around $88 now after previously peaking at $106 - but in that time, the company's shares have traded for $7.48. Meanwhile, eBay is once again approaching its tech bubble price of $27, having fallen as low as $9.
"Instead of trying to time the market, consider buying great companies when they are trading at good prices - even if it's possible they'll get even cheaper," the site said.
