#MarketPullback
What can a pullback tell you?"
A pullback is a term used to describe a short-term price decline, lasting just a few sessions in a row, before the uptrend resumes. A pullback is often seen as a buying opportunity if the overall price is moving up.
A pullback is similar to a retracement or consolidation, and the terms are sometimes used interchangeably.
It is widely seen as a buying opportunity if the stock/crypto is generally showing an upward price movement.
For example, many stocks/crypto experience a significant increase after a positive earnings announcement, followed by a sharp decline as traders sell the stock/crypto to take profits. Others take action to buy, seeing the positive earnings as a fundamental signal that the stock will continue its uptrend.