#MarketRebound

Why Do Rebounds Happen?

Market rebounds are typically driven by a combination of factors:

↘️Oversold Conditions: After a sharp decline, assets or markets can become "oversold," meaning their prices have fallen disproportionately to their underlying value. This can attract bargain hunters and lead to a technical bounce.

↘️ Economic Stimulus: Government interventions, such as fiscal stimulus packages or monetary easing by central banks (e.g., interest rate cuts, quantitative easing), can inject liquidity and confidence into the market.