RE: Who needs the market to move in their desired direction – the bulls or the
(sorry, had a Rocky Horror flashback)
The bears NEED it the most, because they've been having one helluva hard time trying to make a buck in the last 6 months. Almost everything has just gone up up up, with a few consolidation breaks here and there, but otherwise, it's been difficult to short. So I'm assuming by BEAR you are referring to people who want to short.
Or, they have too much cash on the sidelines and are reluctant to jump in (they must think Mr. Market has a memory or something).
Perhaps the real question is who has the power the move the market, the bears or the bulls, and cynical soul that I am, that just depends on power. Again, I think the bears lose out here. They made a lot of money during the great unwind, but as we "rewind" (odd to say that when referring to going forward), the current bears who lost massive amounts of money may not have the juice to move the market signficantly lower. People WANT to buy. Even those temporary bears with money on the sidelines who want to buy at a lower price, still want to buy and will give the market a floor. If the bears push the market down, at the first sign of "bear weakness" the bulls and many sideliners will pounce.
Just my .02 from someone who never took intro economics.