NEO price analysis: NEO/USD struggles further in strong supply zone, with head and shoulders pattern eyed, potential neckline break eyed
- NEO/USD price fails again to break down and advance firmly above touted supply zone.
- Head and shoulders pattern eyed on the 1-hour time frame, as the price heads towards the neckline at $80.
The NEO price is seen down over 1% on Wednesday, as the price further struggles within a known supply zone. This week so far NEO has been on the decline, with cooling observed across the board for the crypto market.
Viewing NEO/USD within the 1-hour time frame view, a head and shoulders pattern formation can be seen. The left shoulder and head have been formed, the price at the moment is in the process of almost completing the right shoulder.
Technically, given the above-mentioned pattern eyed for NEO, it is vulnerable to some further downside which could gather pace, if the textbook pattern plays by the book. The neckline is seen at $80, which will be eyed for support, if broken, the price could drop back down to the mid $60 region. The resistance is tracking from $75-85.
NEO/USD daily chart
Author
Ken Chigbo
Independent Analyst
Ken has over 8 years exposure to the financial markets. He started his career as an analyst, covering a variety of asset classes; forex, fixed income, commodities and equities.
