Support
A price level where buying pressure has historically halted or reversed a downward move.
Support is a horizontal (or near-horizontal) price zone where demand has repeatedly overcome supply, preventing price from falling further. The more times a level has held, the more significant it becomes — until it doesn't.
Support flips to resistance once decisively broken. Traders watch for confluent support: the same level confirmed by prior swing lows, a moving average, or a high-volume node.
- Stronger with more prior touches and higher volume at those touches.
- Round numbers often act as psychological support (e.g. $100, $1 000).
- Always treat as a zone, not a single tick.
On the desk
SPY forms a swing low at $520 in April, bounces, pulls back to $520 again in May, and holds a second time. That $520 zone is confirmed support. A trader looking to go long targets entries near $520 with a stop below $517.