#MarketPullback A **market pullback** is a temporary decline in stock prices, typically 5-10% from recent highs, within an ongoing uptrend. Unlike a correction (10-20%) or a bear market (20%+), pullbacks are short-term and often seen as buying opportunities. Causes include profit-taking, economic uncertainty, or minor negative news. Investors use pullbacks to enter positions at lower prices, believing the long-term trend remains intact. Technical indicators like moving averages or RSI help identify pullback entry points. While normal in market cycles, excessive volatility may signal deeper declines. Diversification helps manage risk during pullbacks.
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