The Support Level of a stock is the price level at which demand for the stock is thought to be strong enough to prevent the price from declining further. It is a price level where investors believe the stock is undervalued and are more likely to buy, thus creating enough demand to stop the price from going lower.Trading at the support level of a stock typically involves buying the stock when the price reaches the support level, with the expectation that the stock's price will rise due to increased demand. This is known as a "support bounce" trade. Traders may also use technical indicators such as moving averages or trendlines to identify potential support levels.It's important to note that support levels are not always exact and can be broken. Also, there is no guarantee that a stock will bounce once it reaches a support level, so it's important to use other types of analysis and have a risk management plan in place.Additionally, it's important to note that Support level is a concept that applies to the price of a stock over time. It's a way to identify key levels on a chart where buyers may step in to buy shares of a stock, thereby preventing the price from falling further.
