Factors Affecting Stock Price Expectations

B

Technical analysts frequently examine historical price information to determine important "support" and "resistance" levels. A support level is a price range at which the demand for a stock is expected to increase, i.e. buying pressure will increase forcing the stock price upward, or will prevent it from moving down. A resistance level is a price range at which the supply of a stock is expected to increase significantly, forcing the price of the stock down, or preventing it from advancing.

"Rotation price" and "reversal level" are largely fictitious terms.