Support and resistance are key concepts in technical analysis used by traders to identify potential price levels where an asset may change direction. Support refers to a price level where buying interest is strong enough to prevent the price from falling further, while resistance is a level where selling interest is strong enough to prevent the price from rising. These levels are often determined by historical price movements and can be visualized on a chart. When the price approaches support, it may bounce back up, while at resistance, it may reverse downward. Understanding these levels helps traders make informed decisions.