A directive allows you to extend the HTML vocabulary in a declarative fashion for building web components. The ng-app attribute is a directive, so is ng-controller and all of the ng- prefixed attributes. Directives can be attributes, tags or even class names, comments.
How directives are born (compilation and instantiation)
Compile: We’ll use the compile function to both manipulate the DOM before it’s rendered and return a link function (that will handle the linking for us). This also is the place to put any methods that need to be shared around with all of the instances of this directive.
link: We’ll use the link function to register all listeners on a specific DOM element (that’s cloned from the template) and set up our bindings to the page.
If set in the compile() function they would only have been set once (which is often what you want). If set in the link() function they would be set every time the HTML element is bound to data in the 
 object.
<div ng-repeat="i in [0,1,2]">
    <simple>
        <div>Inner content</div>
    </simple>
</div>
app.directive("simple", function(){
   return {
     restrict: "EA",
     transclude:true,
     template:"<div>{{label}}<div ng-transclude></div></div>",        
     compile: function(element, attributes){  
     return {
             pre: function(scope, element, attributes, controller, transcludeFn){
             },
             post: function(scope, element, attributes, controller, transcludeFn){
             }
         }
     },
     controller: function($scope){
     }
   };
});
Compile function returns the pre and post link function. In the pre link function we have the instance template and also the scope from the controller, but yet the template is not bound to scope and still don't have transcluded content. 
Post link function is where post link is the last function to execute. Now the transclusion is complete, the template is linked to a scope, and the view will update with data bound values after the next digest cycle. The link option is just a shortcut to setting up a post-link function.
controller: The directive controller can be passed to another directive linking/compiling phase. It can be injected into other directices as a mean to use in inter-directive communication. 
You have to specify the name of the directive to be required – It should be bound to same element or its parent. The name can be prefixed with:
? – Will not raise any error if a mentioned directive does not exist.
^ – Will look for the directive on parent elements, if not available on the same element.
Use square bracket [‘directive1′, ‘directive2′, ‘directive3′] to require multiple directives controller. 
var app = angular.module('app', []);
app.controller('MainCtrl', function($scope, $element) {
});
app.directive('parentDirective', function() {
  return {
    restrict: 'E',
    template: '<child-directive></child-directive>',
    controller: function($scope, $element){
      this.variable = "Hi Vinothbabu"
    }
  }
});
app.directive('childDirective', function() {
  return {
    restrict:  'E',
    template: '<h1>I am child</h1>',
    replace: true,
    require: '^parentDirective',
    link: function($scope, $element, attr, parentDirectCtrl){
      //you now have access to parentDirectCtrl.variable
    }
  }
});