NEO Technical Analysis – Support Levels in Play – 18/09/18A choppy start to the day saw NEO recover to take a run at $17 levels in a bid to reverse Monday’s sell-off. Profit taking could limit the upside today.
- NEO tumbled by 9.23% on Monday, adding to the previous week’s 2.3% fall, to end the day at $16.33.
- An early morning intraday high $18.37 came up against the first major resistance level at $18.38 before hitting reverse.
- A day long sell-off saw NEO slide through the first major support level at $17.46 and second major support level at $16.89 to an intraday low $16.18 before steadying.
- Last week’s decline and Monday’s sell-off reaffirmed NEO’s extended bearish trend formed at the end of April’s swing hi $94.65.
NEO Price Support
NEO tumbled by 9.23% on Monday, following on from last week’s 2.3% fall, to end the day at $16.33.
A continuation of Sunday’s late recovery spilled into the early hours of Monday, with NEO hitting an early morning intraday high $18.37 to come up against the day’s first major resistance level at $18.38 before hitting the brakes.
Negative sentiment from across the broader market weighed, with NEO sliding through the day’s first major support level at $17.46 and second major support level at $16.89 to a late in the day intraday low $16.18 before steadying.
Following the previous week’s loss and Monday’s sell-off, NEO’s extended bearish trend, formed at the end of April’s swing hi $94.65, remained firmly intact, with NEO needing to break through the 23.6% FIB Retracement Level of $33 and take a run at the 38.2% FIB Retracement Level of $45 to begin a bearish trend reversal, price targets being some way off.
At the time of writing, NEO was 0.08% to 16.57, with NEO recovering from an early morning intraday low $16.29 to a morning high $16.7 before steadying, the early moves seeing the day’s major support and resistance levels left untested.
For the day ahead, a move back through the morning high $16.7 to $17 levels would support a run at the day’s first major resistance level at $17.74, supporting a partial recovery of Monday’s losses, with $18 levels in play should the broader market recover from early losses and begin to reverse Monday’s sell-off, momentum capable of pulling NEO back through to $18 levels with ease.
Failure to move through to $17 levels could see NEO move back into the red later in the day, with a fall through the morning low $16.28 bringing sub-$16 levels and the day’s first major support level at $15.55 into play.
For the crypto bulls, the recovery from early losses will provide some hope of a rebound from Monday’s sell-off, though with the stakes now having been raised, we can expect profit taking to peg back any rallies near-term.
Looking at the Technical Indicators
Major Support Level: $15.55
Major Resistance Level: $17.74
Fib 23.6% Retracement Level: $33
Fib 38% Retracement Level: $45
Fib 62% Retracement Level: $64