Retracement in

finance Finance is the study and discipline of money, currency and capital assets. It is related to, but not synonymous with economics, the study of production, distribution, and consumption of money, assets, goods and services (the discipline of fina ...

is a complete or partial reversal of the price of a

security Security is protection from, or resilience against, potential harm (or other unwanted coercive change) caused by others, by restraining the freedom of others to act. Beneficiaries (technically referents) of security may be of persons and social ...

or a

derivative In mathematics, the derivative of a function of a real variable measures the sensitivity to change of the function value (output value) with respect to a change in its argument (input value). Derivatives are a fundamental tool of calculus. F ...

from its current

trend A fad or trend is any form of collective behavior that develops within a culture, a generation or social group in which a group of people enthusiastically follow an impulse (psychology), impulse for a short period. Fads are objects or behavior ...

, thereby creating a temporary counter-trend. Not to be confused with

Fibonacci Retracement In finance, Fibonacci retracement is a method of technical analysis for determining support and resistance levels. It is named after the Fibonacci sequence of numbers, whose ratios provide price levels to which markets tend to retrace a portion ...

market correction A market correction is a rapid change in the nominal price of a commodity, after a barrier to free trade has been removed and the free market establishes a new equilibrium price. It may also refer to several of these single-commodity corrections '' ...

and/or market reversal, which are the most popular types of retracements.

References

As used by journalists: *http://www.marketwatch.com/story/trust-the-streak-this-is-more-than-just-some-bear-market-rally-2016-03-21 *http://www.chicagotribune.com/news/sns-wp-blm-currency-comment-8c2c2374-f0ff-11e5-a2a3-d4e9697917d1-20160323-story.html *https://www.cnbc.com/2016/03/21/is-the-pain-trade-still-higher.html {{finance-stub Financial markets