50% Pullback/Retrace: The Market’s “I Just Need a Quick Halfway Break”

You know how sometimes you’re walking somewhere, you’re making great progress, and then suddenly you stop, turn around, walk exactly half the way back, just to… re-tie your shoe, or check if you left the oven on?

That, my friends, is the 50% Pullback/Retrace in the market!

It’s not a full trend reversal; it’s just the price taking a perfectly measured, slightly neurotic, “I just need to catch my breath at the halfway point” detour. The market was going strong, then it decided, “Nope, gotta retrace precisely 50% of that move before I continue.”

It’s surprisingly common and often seen as the market having a quick, disciplined second thought before resuming its original mission. So, when you spot it, don’t panic! It’s usually just the market saying, “Be right back, just gotta hit that exact midpoint before we zoom off again!”