Where dancers are in two rings (5)
I believe the answer is:
disco
'where dancers are' is the definition.
(a disco is a dance event)
'two rings' is the wordplay.
'two rings' can mean two substitutions for 'ring'.
'ring' becomes 'disc' (both are round objects).
'ring' becomes 'o' (letter resembling a ring).
'disc'+'o'='DISCO'
'in' is the link.
(Other definitions for disco that I've seen before include "Discotheque (abbrev.)" , "Dancing to records" , "Modern dance hall or event, in brief" , "Place to dance to recorded music, in short" , "Musical entertainment" .)