#MarketPullback The current market correction is characterized by falling stock prices, with the S&P 500 and Nasdaq down 0.68% and 0.72%, respectively. To understand the market correction better, let's analyze the key terms ¹ ²:

- *Correction*: A temporary decrease in price, typically ranging from 5-10%, in an ongoing bull market. Corrections are normal adjustments in the market cycle and can last from a few days to a few weeks.

- *Major correction*: A market decline of 10-20% that can last for several months, often accompanied by higher volatility. Major corrections can be quite severe and are often seen as an opportunity to buy undervalued stocks at reduced prices.

- *Bear market*: A decline of 20% or more over at least two months, where investor confidence is shattered and trading activity diminishes.

*Causes of market corrections:*

- Profit-taking

- Short-term sentiment shifts

- External events

- Released economic data

- Geopolitical events