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I think Google analytics shows traffic from 3 different resources: Traffic from Search Engine, Direct traffic and reffering traffic. The reffering traffic means traffic from different resources such as website, blog, directories etc. Where you have placed your website link or promoted your website.
In other terms, traffic can be direct (visitors type the website url in the browser's address bar), organic (unpaid traffic that comes from search engines) or reffered. The refferals can be paid or not. Usually, they are: text links, banners, ads.