The concept of support and resistance

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Support and resistance in the financial market is used in the technical analysis of a financial instrument. Support means the lower level of the current price with a tendency to find prices lower than the support level. The price is more likely to bounce from this support level than to penetrate it, and therefore support is the point at which demand increases. It overcomes supply, and at this level prices bounce upward due to increased buying pressures more than selling pressures.
الدعم والمقاومة مباشر
As for resistance, it is the level greater than the instrument’s current price, which is the maximum price to which the instrument may rise, in contrast to support levels. Resistance is a point where supply overcomes demand directly above the required price. When the stock or financial instrument reaches that level, prices push down due to... Selling pressure increases more than buying pressure.