#MarketPullback
๐ What is Market Pullback?
Market Pullback is a temporary price decrease in an uptrend. It usually drops around 5โ10% and occurs due to profit-taking, short-term negative sentiment, or reaction to specific news.
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๐ Characteristics of Market Pullback:
Occurs in an uptrend (bullish).
The decline is only temporary.
Often triggered by profit taking or economic news.
Does not indicate a long-term trend reversal.
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๐ Pullback vs Correction vs Bear Market:
Term Price Decrease Duration
Pullback 5โ10% Short (days/weeks)
Correction 10โ20% Medium (weeks/months)
Bear Market >20% Long (months/years)
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๐ก Strategies During a Pullback:
Buy the dip if the fundamentals are still good.
Avoid panic selling.
Use technical analysis (support/resistance).
Rebalance your portfolio.
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Conclusion:
Pullback is a normal part of a healthy market. It is not a danger signal, but often presents a buying opportunity for long-term investors.
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