NEO price analysis: Bears poke the bulls at the back as the trend turns bearish below the broken trendline support
|- NEO price corrected higher after bouncing off $17.00 support but the upside is limited by the 61.8% Fib level.
- NEO/USD is still on the verge of a breakdown to the primary support at $14.00 but before that, a couple of short-term support areas at $17.00 and $15.46 - $16.506 will come in handy.
For almost a week, NEO price was trading above the trendline support as seen on the chart. However, the bears poking the bulls managed to find an entry at the opening of the session on Monday. The price plunged below the 100-day hourly moving average as well as the trendline support coinciding with the 61.8% fib level taken from a high of $21.0 and a low of $13.72 at $18.22.
The declines extended to the support at $17.00, before bouncing back up at the opening of the session on today, Tuesday 21. NEO corrected a little lower during the Asian trading hours, although the buyers pushed for higher correction during the European trading hours. NEO price upside is capped at the 61.8% Fib level while the trendline resistance will be a significant hurdle.
NEO price is up 4% on the day while the trend is still slightly bullish as observed using various technical indicators. The MACD, for instance, is in the negative region but reaching towards 0.000. The stochastic, on the other hand, is ranging at 66.5%. The bears are seeking entry slightly below $18.00. The previous support at $17.00 is strong enough to hold the price in the event the trend turns more bearish. Another support is highlighted $15.46 - $16.506 found between strong Fib levels.
NEO price is currently a sitting duck waiting for either the buyers or the sellers to take charge. For the buyers, a break above the trendline resistance will result in a breakout towards the supply zone at $20.00. But a drop below the immediate support at $17.00 is like to break down past the next support target at $15.46 - $16.506 and even retest the primary support at $14.00.
NEO/USD 1-hour chart
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