#MarketPullback Special features of Pullback:
1. It is temporary, it happens only for some time, then the price again goes into the same trend.
2. Buying Opportunity: Pullback in a bullish trend can be a good opportunity to buy at a cheaper price.
3. Stops at Support Level Pullbacks can usually stop at support like MAs (Moving Averages), Fibonacci levels or previous resistance.
How to identify a pullback?
Price comes down by some % after the rise (eg 3-10%)
Volume decreases (there is no panic)
Indicators like RSI turn down but are not oversold
Price stabilizes at a support zone