How do you differentiate between correction✅ and reversal📉 in the financial markets, so you don't lose your money🤔💸?

In the financial markets, the concepts of reversal and correction are used to describe price movements 📈📉, but they differ in nature and causes. Here's the difference between them:

Reversal:

Definition:

A reversal occurs when a market or financial instrument changes its general direction (main trend) from up to down or from down to up 🔄.

Duration:

It is considered long-term 🕒 and indicates a change in the basic trend of the market.

Reason:

It is often the result of fundamental changes in economic or fundamental factors, such as a change in monetary policies or important economic data 📊⚖️.#