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What are support and resistance levels in technical analysis?

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Support and resistance levels are critical concepts in technical analysis. Support level is a price point where a stock or market often finds buying interest, preventing the price from falling further. It's considered a level at which the asset tends to stop decreasing in value. Resistance level, on...
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Support and resistance levels are critical concepts in technical analysis.

Support level is a price point where a stock or market often finds buying interest, preventing the price from falling further. It's considered a level at which the asset tends to stop decreasing in value.

Resistance level, on the other hand, is a price point where a stock or market frequently encounters selling interest, preventing the price from rising further. It's a level at which the asset tends to stop increasing in value.

These levels are used by traders to make decisions about buying or selling assets and to set potential entry or exit points in the market.

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