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From Diablo Wiki
→Defense vs. Armor vs. Resistance
* Defense is one of the four core character attributes/stats. It applies to all damage. It grows as your character levels up, and can be added as a bonus from items, gems, skills, and more.
* Armor is a value on all types of armor items. It only reduces damage from physical attacks.
* Resistance can be found as a bonus on certain armor equipment items. There are five different elements, and five corresponding resistance stats which reduce damage from those elements.
While Defense does increase when your character levels up, the Defense formula has built-in penalties for leveling up which counteract the Defense bonuses. For the most part, this means that Defense bonuses from level-up are largely superficial.
