Elastic Load Balancer (ELB) from Amazon Web Services (AWS) distributes incoming traffic across multiple targets, such as Amazon EC2 instances, containers, and IP addresses, to enhance the application's availability. It utilizes three load balancers (Application, Network, and Classic) with different traffic distribution algorithms based on round-robin, least outstanding requests, and flow hash algorithms. This ensures the load is spread evenly, preventing any single resource from being overworked. ELB also performs health checks on targets and only directs traffic to healthy ones, reducing application downtime risk. Finally, it dynamically scales its capacity according to traffic patterns to handle varying load levels.