#MarketPullback market pullback is a temporary and often mild decline in the price of a stock, an asset, or the overall market, following a period of upward movement. It's a natural and healthy part of market cycles, typically seen as a pause or dip rather than a full-blown reversal of the prevailing trend.

Here's a breakdown of what market pullbacks entail:

Key Characteristics:

Temporary: Pullbacks are generally short-lived, often lasting for a few trading sessions to a few weeks.

Moderate Decline: They usually involve a decline of 5% to 10% from recent highs.

Within an Uptrend: Crucially, a pullback occurs within an ongoing overall uptrend. It's not a signal that the trend has fundamentally changed direction.

Opportunity: Many investors and traders view pullbacks as a "sale" or a buying opportunity, allowing them to acquire assets at a lower price before the uptrend is expected to resume.