NEO Technical Analysis – Support Levels in Play – 26/02/19

Key Highlights

• NEO fell by 1.7% on Tuesday. Partially reversing a 3.52% gain from Monday, NEO ended the day at $9.27.
• A start of a day intraday high $9.46 saw NEO fall short of the first major resistance level at $9.72.
• An early afternoon intraday low $9.02 saw NEO fall through the first major support level at $9.05 before finding support.
• 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 7^th December’s new swing lo $5.46.

How to Buy NEO

NEO Price Support

NEO fell by 1.7% on Tuesday. Partially reversing a 3.52% gain from Monday, NEO ended the day at $9.27.

Bearish from the start of the day, NEO fell from an intraday high $9.46 to an early afternoon intraday low $9.02. Falling short of the first major resistance level at $9.72, NEO called on support at the first major support level at $9.05 to avoid sub-$9.00 levels.

Holding onto $9.00 levels was key, though a pullback through $9.25 leaves NEO under pressure near-term.

The day’s reversal left NEO up by 1.87% for the current week. The gains come off the back of a 6.93% rise from the previous week.

The extended bearish trend, formed at the end of April swing hi $94.65, remained intact. In spite of a 6.93% gain last week, 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 down by 1.05% to $9.17. The reversal saw NEO fall from a morning high $9.27 to a low $9.10 before steadying. Moves through the early hours saw NEO steer clear of the major support and resistance levels.

For the day ahead

A move back through the morning high $9.27 would bring the first major resistance level at $9.48 into play. Sentiment across the broader market would need to materially improve for the second major resistance level at $9.69 to be tested. We would expect NEO to continue to fall short of $10.00 levels, the current week’s high $9.64 likely to pin NEO back on the day.

Failure to move back through the morning high $9.27 could see NEO fall through the morning low $9.10 to test the first major support level at $9.04. Sentiment across the broader market would need to improve for NEO to avoid sub-$9.00 levels and the second major support level at $8.81.

Barring a broad-based crypt meltdown, we would expect NEO to avoid heavier losses on the day.

Looking at the Technical Indicators

Major Support Level: $9.04

Major Resistance Level: $9.48

23.6% FIB Retracement Level: $27

38.2% FIB Retracement Level: $40

62% FIB Retracement Level: $61