Foreshadowing is a literary device that hints at future events in a story. It creates suspense by setting up expectations in the reader through recurring symbols, character reactions, settings, dialogue, and more. Examples include a mother's concern for her daughter in Little Red Riding Hood foreshadowing the appearance of the wolf, and Indiana Jones commenting on unstable ground before an earthquake. Foreshadowing has been used for centuries in literature to surprise readers or shift the mood.