Final answer:
Hair follicles are located in the dermis of the skin, receive blood supply through capillaries, and have nerve endings that detect touch and movement.
Step-by-step explanation:
Hair follicles are structures embedded within the dermis layer of the skin where hair originates. The follicles pass through the epidermis and allow the hair to exit at the surface of the skin. Hair follicles are located in the dermis of the skin, receive blood supply through capillaries, and have nerve endings that detect touch and movement.
Each hair follicle is closely associated with a sebaceous gland, which produces sebum to coat and protect the hair. Moreover, every hair follicle is supplied with a network of capillaries ensuring they receive necessary blood supply, and a bed of nerve endings making them sensitive to touch and other stimuli.
These nerve endings form a hair follicle plexus around the base, which can detect the movement of the hair. The tiny arrector pili muscle attached to the follicle can contract, causing the hair to stand up, a reaction commonly known as 'goosebumps'.