NEO Technical Analysis – Support Levels in Play – 24/01/19

Key Highlights

• NEO fell by 1.94% on Wednesday, partially reversing a 3.05% gain from Tuesday, to end the day at $7.61.
• An early morning intraday high $7.8 saw NEO come up short of the first major resistance level at $8.06.
• A late afternoon intraday low $7.52 saw NEO come within range of the first major support level at $7.32 before moving back through to $7.6 levels.
• The extended bearish trend formed at the end of April’s swing hi $94.65 remained intact, with NEO continuing 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 Support

NEO fell by 1.94% on Wednesday, partially reversing a 3.05% rally from Tuesday, to end the day at $7.61.

An early morning intraday high $7.8 saw NEO fall well short of the first major resistance level at $8.06 before hitting reverse through the day, negative sentiment across the broader market weighing, as investors looked to lock in profits from Tuesday’s gains.

Bearish through the day, NEO fell to a late in the day intraday low $7.52, coming within range of the first major support level at $7.32 before moving back through to $7.6 levels by the day’s end.

The extended bearish trend, formed at the end of April swing hi $94.65, remained intact, with NEO continuing 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 down 0.53% to $7.57, with moves through the early morning seeing NEO fall from a start of a day morning high $7.62 to a morning low $7.54 before steadying. The relatively range bound, whilst bearish, start to the day saw NEO steer clear of the day’s major support and resistance levels early on.

For the day ahead, a move through the morning high to $7.65 levels would support a run at $7.7 levels to bring the day’s first major support level at $7.76 into play before any pullback. We would expect NEO to come up short of $7.90 levels and the second major resistance level at $7.82, barring a material shift in sentiment across the broader market, with Wednesday’s high $7.80 likely to pin NEO back.

Failure to move back through the morning high to $7.65 levels could see NEO take a bigger hit later in the day, with a pullback through the morning low $7.54 bringing the day’s first major support level at $7.48 into play before any recovery. Heavier losses are not expected on the day, barring a broad based crypto sell-off.

Looking at the Technical Indicators

Major Support Level: $7.48

Major Resistance Level: $7.76

Fib 23.6% Retracement Level: $27

Fib 38% Retracement Level: $40

Fib 62% Retracement Level: $61