Market Pullback: How to Buy the Dip the Right Way ?
The recent market pullback has opened a big door for investors who know how to enter wisely. "Buy the dip" is not just buying during a downturn, but a strategy that must be executed with awareness.
What does an actual Pullback mean?
• A temporary decline within an upward trend
• An opportunity for better buying if the conditions are met
• A healthy indicator for the market if it's not caused by catastrophic news
How to buy the Dip correctly?
Make sure the overall trend is upward
If the entire market is falling sharply, it is not called a Dip… it’s called a crash.
Source for professional explanation:
https://www.avatrade.com/education/online-trading-strategies/buy-the-dip
Study strong support areas
Entry should be at previously touched areas and not in the middle of the crash.
Divide the amount into stages
Gradual entry instead of one large entry.
Use a conscious stop loss
Protection is more important than profit.
Avoid entering out of fear of missing out (FOMO)
This is the number one reason for many losses.
Link to buy cryptocurrencies during the Dip:
https://www.binance.com/en/crypto/buy/USD/BTC
