A resistance level is a price rangea.at which a significant increase in demand for a stock is expectedb.below which a stock price cannot goc.at which a significant increase in the supply of a stock is expectedd.above which a stock price cannot goClear my choice
Question
A resistance level is a price rangea.at which a significant increase in demand for a stock is expectedb.below which a stock price cannot goc.at which a significant increase in the supply of a stock is expectedd.above which a stock price cannot goClear my choice
Solution
A resistance level in stock market terminology refers to the price point at which a significant increase in the supply of a stock is expected. This is because at this price level, many investors may be willing to sell the stock, thereby increasing its supply in the market. This increased supply can prevent the stock price from rising further, hence the term 'resistance'. So, the correct answer is c. "at which a significant increase in the supply of a stock is expected".
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