A magnetic needle is a unique magnet with one end as the North Pole and the other as the South Pole. Our earth behaves like a giant magnet with its magnetic north pole coinciding with its geographical south direction and its magnetic south pole coinciding with geographical north direction. The North Pole of a magnetic needle that is a magnet is free to rotate horizontally on its axis is attracted towards the earth’s magnetic South Pole and the south pole of the magnetic needle towards the earth’s magnetic north pole. So even though no magnetic substance nearby, the magnetic needle still points north-south direction.