The continuity setting is not intended as a substitute for the proper resistance setting as it can easily give a false reading leading to an incorrect diagnosis.
A continuity test can be used to determine whether a circuit is open or closed.
For example, a light switch is closed circuit when it is in the "on" position and it is open circuit when it is switched off. A complete, closed loop electrical circuit capable of conducting current has an electrical continuity. An open circuit cannot conduct electricity.
To measure continuity place a probe on each side of the component to be checked, if there is a complete path through the component the meter will beep and display 0 - 5 Ohms if the circuit is incomplete no sound will be heard and the meter will show "OL".