NEO takes a big hit early on another wave of sellers hit the broader cryptomarket, the bears firmly in control, with December lining up to be a horror.
NEO gained 4.06% on Tuesday, partially reversing an 8.18% slide on Monday, to end the day at $7.69.
In line with the broader market, a bearish start to the day saw NEO slide through the early hours to an intraday low $7.06, calling on support at the first major support level at $7.05 and from the broader market to bounce back through to an early afternoon intraday high $8.18.
The late morning recovery and early afternoon high saw NEO break through the first major resistance level at $7.95 before hitting reverse through the late afternoon to pullback to sub-$8.00 levels.
In spite of Tuesday’s partial recovery, the extended bearish trend formed at the end of April’s swing hi $94.65 remained firmly intact following last week’s new swing lo $6.75, with NEO continuing to fall well short of the 23.6% FIB Retracement Level of $28.
At the time of writing, NEO was down 4.93% to $7.31, with a particularly bearish start to the day seeing NEO fall from a morning high $7.69 to a morning low $7.28 before moving back through to $7.3 levels, the day’s major support and resistance levels left untested early on.
For the day ahead, a move back through the morning high $7.69 would be need to support an afternoon rally to bring $8.00 levels and the day’s first major resistance level at $8.23 into play before any pullback, though we can expect NEO to face plenty of resistance on a run through to $8.00 levels on the day, with support being needed from the broader market to drive a break out from $8.00.
Failure to move back through the morning high could see NEO take a bigger hit later in the day, with a pullback through the morning low $7.28 bringing the day’s first major support level at $7.11 and sub-$7.00 levels into play before any recovery, while we would expect the day’s second major support level at $6.52 to be left untested through the day.
Major Support Level: $7.11
Major Resistance Level: $8.23
Fib 23.6% Retracement Level: $28
Fib 38% Retracement Level: $40
Fib 62% Retracement Level: $61
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.