[kuh-rek-shuh
n] 
| 1. | something that is substituted or proposed for what is wrong or inaccurate; emendation. |
| 2. | the act of correcting. |
| 3. | punishment intended to reform, improve, or rehabilitate; chastisement; reproof. |
| 4. | Usually, corrections. the various methods, as incarceration, parole, and probation, by which society deals with convicted offenders. |
| 5. | a quantity applied or other adjustment made in order to increase accuracy, as in the use of an instrument or the solution of a problem: A five degree correction will put the ship on course. |
| 6. | a reversal of the trend of stock prices, esp. temporarily, as after a sharp advance or decline in the previous trading sessions. |
| cor·rec·tion (kə-rěk'shən) n.
|
Correction
A price reaction (usually negative) of at least 10% for a stock, bond, commodity, or index.
Investopedia Commentary
A healthy market will correct from time to time.
Related Links
Capitulation Defined
See also: Bear Market, Bloodletting, Capitulation, Dead Cat Bounce, Falling Knife, Flight to Quality, Panic Selling, Retracement
correction