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

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 7^th 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 2^nd half of the day. A late recovery from a 2^nd 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 7^th 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.

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

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Thanks, Bob