Support and Resistance! Resistance: A point of resistance above where the price tends to bounce against. Support: A point of resistance below that the price tends to bounce against. Both Support and Resistance can be called Resistance. If the price drops below a Support, then often the previous Support becomes the new Resistance above the price. For the horizontal support and resistance lines, you can visualize a multi-story building. Now imagine you throw in a ball that just keeps bouncing from floor to ceiling. Once in awhile the ball finds its way to another floor above or below. It just continues bouncing regardless of the level. It just has a new ceiling and floor (resistance and support). Happy Trading!