Charts & technicals
What is Support and resistance?
Also called: Support, Resistance
Hinglish mein padhein: Support aur resistance kya hota hai?
Support is a price level where buying has repeatedly stopped a fall; resistance is where selling has repeatedly capped a rise.
These levels form because traders remember prices where they bought or sold. Once resistance is decisively broken it often turns into support, and vice versa.
Levels are zones, not exact prices. Stops are usually placed a little beyond them.
Related terms
- BreakoutA breakout is when price moves above resistance (or below support, a breakdown), often starting a bigger move.
- Pivot pointsPivot points are support (S1–S3) and resistance (R1–R3) levels calculated from the previous session's high, low and close.
- TrendlineA trendline connects a series of higher lows (uptrend) or lower highs (downtrend) to show the direction and slope of a trend.