For most global investors, when a screen flashes red, it means danger. In Western stock markets, red is always connected to losing money, debt, and deficits. This started in old accounting books, where writers used red ink to record financial losses. Because of this, people still use the idiom "in the red" when they lose money. On the other hand, green represents growth, nature, and positive movement. It is also the color of US paper money.
However, if you visit the stock market in Taiwan, the colors are completely opposite. Here, red is the color of success. It shows that stock prices are going up, while green means prices are going down. This color system comes from traditional Chinese culture, where red means good luck, celebration, and wealth. For example, people give red envelopes (紅包) during the Lunar New Year. Therefore, it is natural for Taiwanese markets to use red for gains.
This difference can confuse local retail investors who trade in global markets. A Taiwanese investor might feel happy when they first see a red screen on a US trading app. However, they will quickly realize that their stocks actually tumbled. Understanding these cultural colors is very important when you trade stocks globally.