#MarketRebound

📈 What Does #MarketRebound Mean?

A market rebound occurs when:

Prices fall sharply due to negative news, economic data, or panic selling.

Then, confidence returns and buyers re-enter the market.

Prices begin climbing back up, often quickly.

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🔄 Types of Market Rebounds

1. Dead Cat Bounce

A short-lived recovery during a longer-term downtrend.

Often tricks investors into thinking the worst is over.

2. V-Shaped Recovery

A sharp drop followed by a rapid recovery, forming a “V” pattern on the chart.

Shows strong investor confidence and quick economic reaction.

3. Gradual Rebound

A slow, steady recovery over weeks or months.

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🧠 What Causes a Market Rebound?

Positive economic news or earnings reports

Central bank interventions (e.g., interest rate cuts)

Oversold technical conditions (RSI < 30, etc.)

Improved investor sentiment

Short-covering rallies