What is a Indices Trading Pullback?
The stock indexes price does not move up or down in a straight line. Instead the stock indexes price moves up or down in a zigzag pattern called a indices trend - in this pullback pattern the stock indexes price moves upward in a indices trend then it retraces before resuming the indices trend direction - in a downward indices trend the stock indexes price moves downward in the indices trend direction and then retraces before resuming the indices trend direction.
What is a pullback? A stock indexes price pullback is a pullback of the stock indexes price before the stock indexes trading market resumes the original indices trend movement.
Example of Zigzag Indices Price Movement: The example explained and illustrated below shows stock indexes price moving up in a zigzag pattern showing stock indexes price indices trend and stock indexes price pullback.
The example explained and illustrated below shows movement in an upward market and stock indexes price pullback.
What is a Pullback? - What is a Indices Trading Pullback? - Indices Price Pullback Explained With Example
1-2: Indices Price Moves Up - Indices Trend Direction
2-3: Indices Price Pullback
3-4: Indices Price Moves Up - Indices Trend Direction
4-5: Indices Price Pullback
5-6: Indices Price Moves Up - Indices Trend Direction
The pullback of stock indexes price is explained on the above example - this represents a indices trading pullback in an upward stock indexes trend.