A quick, simple explanation of a Hall Effect Device.
A "Hall Effect Device" (HED) is a sensor that reacts to magnetic fields. As a magnet is moved closer to a HED, it changes the amount of voltage that flows through it.
I have built a "slot car magnet matcher" using a HED. When there is no magnet near it, the HED outputs 2.5 volts, when I place a magnet near it, the voltage will go up if it the north end of the magnet, or it will go down if it is the south end of the magnet.