#MarketPullback A market pullback is a temporary drop in prices in a financial market, usually following a bull market trend. It is a natural correction, where prices retreat by 5% to 20%, without indicating the end of the uptrend. Pullbacks occur due to profit-taking, economic uncertainties, or news events. For investors, they can represent buying opportunities at lower prices, provided the long-term trend remains positive. Identifying pullbacks requires technical analysis, such as support and resistance, or indicators like RSI. However, it is crucial to distinguish pullbacks from trend reversals, which are more prolonged and significant declines, necessitating caution in strategy.
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