Trends can move in three directions—up, down, and sideways. If you study prices over a long period of time, you will be able to see all three types of trends on the same chart. The slope of a trend indicates how much the price should move each day. Steep lines, moving either upward or downward, indicate a certain trend. The amount of time determines the validity of a trend. Generally, monthly time series carry greater importance than weekly prices, which supersede daily prices. Support is something that prevents the price from falling further. The support level is a price point on the chart where the trader expects maximum demand (in terms of buying) coming into the stock/index. Whenever the price falls to the support line, it is likely to bounce back. The support level is always below the current market price. A resistance level is the opposite of a support level. It is a price point (ceiling) at which the stock price is not expected to rise any higher. This is a price point at which there are more sellers than buyers in the market for the particular stock.