Submitted by Bill DeShurko on Wed, 02/02/2022 - 8:04am
Whenever the market hits the official correction level — a 10% drop, the question becomes, is this the start of a true bear market or is this just a correction bottom and now is it time to buy? Historically corrections happen 2-3 times a year we should be used to this, right?
I came across this chart the other day. It is parsing market activity down to daily volatility. This is looking at when markets drop 4% or more, in a day, and then rebounds in the same day to end positive. This happened last week, on Monday, January 24, 2022.