It is important for every trader to know where the immediate support and resistance are. Sometimes if you enter a trade when there is immediate resistance it could take a long time for the stock to break, which means that you might be losing on cathing another stock that is on the move...
We teach you later on how to spot immediate resistance and how to avoid this.
Spotting support and resistance zones are the basics of technical trading, these zones are significant because once the stock price breaks these levels you are sure to know what the probable direction of the stock is.
Support and Resistance levels represent areas where the majority of private traders and investors are at the best both buying or selling. In basics economics is where demand meets supply.
Only with practice you will be able to spot the support and resistance zones.