Price movement in stock markets is not driven by economic fundamentals and computer algorithms alone.
In large part it is a function of human behavior, which is by nature erratic. Millions of stock traders and investors make their buying and selling decisions based on their emotions and intuition. This can make the stock prices unreasonably expensive at times — or surprisingly cheap if stocks fall very far, very fast.
Corrections are a part of the natural stock market order. Here are five things you should know about stock market corrections.
