Support and resistance are fundamental concepts in technical analysis, representing price levels where an asset's price tends to pause or reverse due to a concentration of buying or selling interest. A support level is a price point where a downtrend is expected to pause due to a concentration of demand, as buyers step in to prevent further price declines. Conversely, a resistance level is a price point where an uptrend is expected to pause due to a concentration of supply, as sellers enter the market. These levels are not fixed lines but rather zones, and their strength is often determined by how many times they've been tested and held. Strategies involve identifying these key levels on charts and using them to inform trading decisions. For instance, traders might look to buy near support levels or sell near resistance levels, anticipating a bounce or reversal. A breakout above resistance or below support can signal a significant shift in trend. The more times a level holds, the stronger it becomes, and vice versa. Understanding and effectively applying support and resistance is crucial for risk management and identifying potential entry and exit points in various market conditions.