Support
Support is a level located on a chart that indicates demand, where buyers have come in and purchased a security. Price moves down to a certain point, buyers come in and price reverses and begins to move up. This may be enough to keep price from falling further. As price drops to that level, buyers see a bargain and start to purchase the security, increasing demand and increasing price.
A support line is not a guarantee against falling prices. Price can and move where it pleases. A break of a support line is considered bearish for a stock. If the price stays below that line for a prolonged period, the line then becomes resistance. Buyers are unwilling to purchase at the support price and demand a price at some lower point.
