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3 Valuable Lessons You Can Learn During Stock Market Corrections

3 Valuable Lessons You Can Learn During Stock Market Corrections

A correction in the stock market is usually defined by a drop of 10% to 20% in major indexes, such as the S&P 500, Nasdaq Composite, or Dow Jones Industrial Average (DJIA). While it's not as dramatic of a decline as stock market crashes, corrections can still wipe away a decent amount of portfolio value. Stock market corrections may cause some people to get a little nervous when they see their portfolio, but it shouldn't be an occasion for panic.