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NEO Technical Analysis – Support Levels in Play – 19/02/19

By:
Bob Mason
Published: Feb 19, 2019, 05:33 UTC

NEO failed to hold onto early gains, with profit taking off the back of 2 consecutive daily rallies weighing early on. A hold above $8.80 will be key.

NEO

Key Highlights

  • NEO rallied by 5.41% on Monday. Following on from a 5.98% rise on Sunday, NEO ended the day at $8.97.
  • An early morning intraday low $8.33 saw NEO steer well clear of the first major support level at $8.0633.
  • A late afternoon intraday high $9.12 saw NEO break through the first major resistance level at $8.9133.
  • The extended bearish trend formed at the end of April’s swing hi $94.65 remained 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 rallied by 5.41% to on Monday. Following on from a 5.98% rally on Saturday, NEO ended the day at $8.97. The day’s rally came off the back of a 4.67% gain from last week.

Tracking the broader market through the day, NEO recovered from an early morning intraday low $8.33 to strike a late afternoon intraday high $9.12 before easing back.

Steering clear of the day’s first major support level at $8.0633, the day’s rally saw NEO break through the first major resistance level at $8.9133 to hit $9.00 levels for the first time since 10th January.

For the bulls, the hold above the first major resistance level at $8.9133 was the positive for the day, with upward momentum through the last week seeing NEO move back into positive territory year-to-date.

The extended bearish trend, formed at the end of April swing hi $94.65, remained intact in spite of 2 consecutive days of solid gains. 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 down by 0.56% to $8.92. Tracking the broader market through the early hours, NEO fell from the start of a day morning high $9.32 to a morning low $8.80 before finding support. The early morning rally saw NEO break through the first major resistance level at $9.2833, whilst steering clear of the first major support level at $8.4933.

For the day ahead, a hold above $8.80 through the morning would support a move back through to $9.00 levels to bring the first major resistance level at $9.2833 back into play before any pullback. Support from the broader market could bring the second major resistance level at $9.5967 into play later in the day, though sentiment would need to improve to support a breakout.

We would expect NEO to fall short of $10.00 levels, however, in the event of a 3rd consecutive day of solid gains.

Failure to hold above $8.80 could see NEO call on support at the first major support level at $8.4933 before any recovery. Barring a broad-based crypto sell-off, we would expect NEO to steer clear of the second major support level at $8.0167 and sub-$8.00 levels on the day.

NEO/USD 19/02/19 Daily Chart

Looking at the Technical Indicators

Major Support Level: $8.4933

Major Resistance Level: $9.2833

Fib 23.6% Retracement Level: $27

Fib 38% Retracement Level: $40

Fib 62% Retracement Level: $61

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.

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