Correction territory is a term used to describe a decline of at least 10% from a recent high in a stock index or market. It is a sign that investors are skeptical of what lies ahead for stocks. A correction is not a universally accepted definition, but most people consider it to have occurred when a major stock index, such as the S&P 500® index or Dow Jones Industrial Average, declines by more than 10% but less than 20% from its most recent peak. The term "correction" is used because historically the drop often "corrects" and returns prices to their longer-term trend. Corrections can last anywhere from days to months, or even longer. While damaging in the short term, a correction can be positive, adjusting overvalued asset prices and providing buying opportunities. Corrections can affect all equities, but they often hit some equities harder than others. Small-cap, high-growth stocks in volatile sectors, like technology, tend to react the strongest. For investors, corrections can provide both the opportunity to take advantage of discounted asset prices as well as to learn valuable lessons on how rapidly market environments can change.