Identifying a Bullish Trend in the Stock Market

C

A bullish trend in the stock market generally refers to a situation where the market is experiencing an overall upward trend, with investors generally optimistic about the prospects of the market and willing to invest more money.

Out of the given options, the answer that depicts a bullish trend in the stock market is option B, where the stock price rises above the support level.

A support level refers to the price level at which the demand for a stock is strong enough to prevent it from declining further. When a stock price rises above the support level, it is an indication that there is increasing demand for the stock, which may be due to a variety of factors, including positive news about the company or industry, a strong earnings report, or other factors that make investors more optimistic about the stock's future prospects.

On the other hand, option A, where the stock price drops below the support level, is a bearish trend, as it indicates that there is weaker demand for the stock and investors are more pessimistic about its future prospects.

Option C, where the stock price drops below the resistant level, is also a bearish trend. A resistant level refers to the price level at which the supply of a stock is strong enough to prevent it from rising further. When a stock price drops below the resistant level, it is an indication that there is weaker demand for the stock and investors are more pessimistic about its future prospects.

Therefore, the correct answer to the question is option B, where the stock price rises above the support level.