A correctionA correction is a temporary price movement in the opposite d... More is a temporary priceWhat are value stocks? A value company is a company that app... More movement in the opposite direction to the overall .
A correction can happen for various reasons such as profit-taking or countertrend traders entering the marketIn trading, "entering the market" refers to making a trade ... More. It is usually seen as a pullback in a trendWhat is a market trend in trading? A market trend is the ten... More before the priceWhat is price? The price is the measure of the value of good... More movement continues in the original direction.
A correction is not the same as a . A correction is when the marketWhat are value stocks? A value company is a company that app... More moves in the direction of the trend (1), and pulls back only for a short time (2) before continuing in the original trend direction (1).
The following image shows a correction in an :
Learn more about corrections, reversals and trends:
