Advertisement
Advertisement

NEO Technical Analysis – Resistance Levels in Play – 02/04/19

By:
Bob Mason
Published: Apr 2, 2019, 04:01 UTC

A bullish start to the day saw NEO break through key resistance levels. Support from the broad market is going to be needed for NEO to hold on.

Bitcoin, Ethereum, Litecoin Digital cryptocurrencys on a notebook

Key Highlights

  • NEO fell by 0.68% on Monday. Partially reversing a 1.39% gain from Sunday, NEO ended the day at $10.18.
  • A start of a day intraday low $9.94 saw NEO come within range of the first major support level at $9.90.
  • A late morning intraday high $10.32 saw NEO fall short of the first major resistance level at $10.43 before easing back.
  • The extended bearish trend formed at the end of April’s swing hi $94.65 remained firmly intact. NEO continued to fall well short of the 23.6% FIB Retracement Level of $27 following 7th December’s new swing lo $5.46.

How to Buy NEO

NEO Price Resistance

NEO slipped by 0.68% on Monday. Partially reversing a 1.39% rise from Sunday, NEO ended the day at $10.18.

A particularly bearish start to the day saw NEO slide to an intraday low $9.94 before finding support. Steering clear of the first major support level at $9.90, NEO recovered to a late morning intraday high $10.32.

The morning recovery saw NEO come up short of the first major resistance level at $10.43 before easing back. While easing back, NEO managed to avoid a return to sub-$10.00 levels through the 2nd half of the day. A late recovery from a 2nd half of a day low $10.06 limited the losses on the day.

The extended bearish trend, formed at the end of April swing hi $94.65, remained intact in spite of 6-weeks in the green out of the last 8. NEO continued to fall well short of the 23.6% FIB of $27 following 7th December’s swing lo $5.46.

At the time of writing, NEO was up by 2% to $10.38. A bullish start to the day saw NEO rally from a morning low $10.18 to a high $10.61 before easing back. Steering clear of the major support levels, NEO broke through the first major resistance level at $10.35 and second major resistance level at $10.53.

NEO/USD 02/04/19 Daily Chart

For the day ahead

A hold onto $10.30 levels through the morning would support a move back through the second major resistance level at $10.53. Barring a broad-based crypto rally, however, we would expect NEO to come up short of $11.0 levels. In the event of a crypto rally, NEO could test the third major resistance level at $10.91 before any pullback.

Failure to hold onto $10.30 levels could see NEO hit reverse later in the day. A pullback through the $10.15 levels would bring the first major support level at $9.97 into play before any recovery.

Barring a broad-based crypto reversal, however, we would expect NEO to steer clear of sub-$10.0 levels on the day. Key will be avoiding a slide through $10.15 in the early part of the day.

Looking at the Technical Indicators

Major Support Level: $9.97

Major Resistance Level: $10.35

23.6% FIB Retracement Level: $27

38.2% FIB Retracement Level: $40

62% FIB Retracement Level: $61

Please let us know what you think in the comments below

Thanks, Bob

About the Author

Bob Masonauthor

With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.

Did you find this article useful?

Advertisement