#MarketPullback A market pullback is a short-term decline in the price of a stock or broader market index following a period of upward momentum. Typically, this decline ranges between 5% and 10% and is considered a natural part of market cycles, often viewed as a buying opportunity by investors who believe the overall upward trend will resume .

Key Characteristics of a Pullback

Duration: Pullbacks are usually brief, lasting only a few trading sessions.

Magnitude: They involve moderate price declines, distinguishing them from more severe downturns.

Trend Context: Occur within an existing upward trend, without altering the underlying positive market sentiment.

Support Levels: Often halt at technical support levels, such as moving averages or previous resistance points, before the upward trend resumes .