The Magnetic Lasso is a selection tool found in graphic design software like Adobe Photoshop. It allows users to outline objects in an image by automatically detecting edges. As you move the cursor along the edge of an object, the tool snaps to the contours, making it easier to create precise selections without manually tracing. This tool is particularly useful for isolating complex shapes, such as those found in photographs of people or intricate designs. Once the selection is made, users can manipulate, edit, or remove the selected area, enhancing their creative projects efficiently.