NEO Technical Analysis – Eyeing Resistance Levels – 270718

Key Highlights

• NEO fell by 3.45% on Thursday, more than reversing Wednesday’s 1.04% gain, to end the day at $33.00.
• A morning rally saw NEO move through the first major resistance level at $35.25 to an intraday high $35.67.
• Following the broader market, a reversal through the 2^nd half of the day saw NEO slide through the first major support level at $33.25 to an intraday low $32.73 before recovering to $33 by the day’s end.

How to Buy NEO

NEO Price Support

NEO fell by 3.45% on Thursday, more than offsetting Wednesday’s 1.04% gain, to end the day at $33.00.

A late rally on Wednesday continued into the early hours of Thursday morning, with NEO moving from a morning low $34.13, through the first major resistance level at $35.25 to a mid-morning intraday high $35.67. A late morning pullback saw NEO fall back to $34 levels, which was held on to through the afternoon.

Following the broader market, a late in the day sell-off saw NEO slide through the first major support level at $33.25 to an intraday low $32.73, before recovering to $33.00 by the day’s end, the news of the SEC rejecting a Bitcoin ETF proposal doing the damage late in the day.

For the bulls, NEO’s continued failure to break back through the 23.6% FIB Retracement Level of $43, since 4^th July’s $48.9, remains an issue as some of the majors begin to veer from the broader market moves.

At the time of writing, NEO was up 0.61% to $33.3, with NEO recovering from an early morning low $32.66 that came from a continuation of late Thursday’s market response to the SEC ruling, the morning low steering clear of the first major support level at $31.93.

For the day ahead, a move through the morning’s $33.46 high to $33.8 would support a run back through to $34 levels to bring the first major resistance level at $34.87 into play, while we will expect NEO to fall short of Thursday’s 35.67 high, market sensitivity to anything negative from the news wires continuing to pin NEO back from a more convincing recovery from 29^th June’s swing lo $27.03.

Failure to break back through $33.8 to $34 levels could see NEO pullback into the red in the early afternoon, with a reversal through the morning low $32.66 likely to bring the day’s first major support level at $31.93 into play before any recovery, while NEO will likely avoid sub-$30 levels in the day.

NEO’s extended bearish trend, formed back 30^th April’s swing hi $94.65, remains intact, with NEO needing to break back through to $40 levels and break out from the 23.6% FIB Retracement Level of $43 to begin a near-term bullish trend, such a move looking unlikely through the weekend.

Looking at the Technical Indicators

Major Support Level: $31.93

Major Resistance Level: $34.87

Fib 23.6% Retracement Level: $43

Fib 38% Retracement Level: $53

Fib 62% Retracement Level: $69