[poo
l-bak] 
| 1. | the act of pulling back, esp. a retreat or a strategic withdrawal of troops; pullout. |
| 2. | that which pulls something back or impedes its forward movement. |
| 3. | Machinery. a device for pulling a moving part to its original position. |
| pull·back (pŏŏl'bāk') n.
|
Pullback
A falling back of a price from its peak. This type of price movement might be seen as a brief reversal of the prevailing upward trend, signaling a slight pause in upward momentum.
Investopedia Commentary
Often pullbacks are seen as buying opportunities after a security has had a large upward price movement. It is important, however, to analyze closely any pullback as it may be a sign of a definite trend reversal or a slight pause in the upward trend, each having very different trading implications.
Related Links
Price Patterns - Part 1
Introduction To Technical Analysis
Peak-and-Trough Analysis
See also: Chartist, Correction, Retracement, Reversal, Technical Analysis, Trend
Also spelled: pull back