It just means the "bad" earnings were "less bad" than the market was expecting. Bull sign? Maybe. Maybe not.
See, while it can mean that, I don't think necessarily. I think a lot of times even if the bad news is exactly as people expected, or even if its slightly worse, the stock shoots up because that is the point when the selling pressure is relieved. The bad news is all out, no reason to sell any more, the stock price has dropped to take into account the bad news already (and sometimes then some), and unless there is new unanticipated bad news that comes out the stock should move up from that point for the foreseeable future.
Under what scenario would it not be a bull sign?
Thanks!

