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ET Explainer: What is support & resistance for stock prices?
Support is the price level of a stock below which it will not fall, supported by stronger demand. This means that when a stock is near its support, the market will buy the stock as it expects the stock to move up from this point. Conversely, Resistance is the price level above which the stock will not rise. This implies that when a stock is closer to its resistance level, the sellers are happy to sell, and buyers are less likely to buy.