Big pattern has done its job:
In my previous article on NEO that I published on April 2020. I revealed that the price action of Neo coin has formed a very big pattern on two week chart. And the final leg of this pattern was completed in the month of March when the Neo and all other cryptocurrencies even the complete market was facing very strong . And this strong rally helped the Neo coin to complete this final leg. And as per Fibonacci sequence of pattern I predicted that because the price action has entered in the 0.886 to 1.13 Fib level. Therefore now the Neo coin will turn from here and it will be entered in the of C to D leg from 0.382 to 0.786 . And as per prediction that I made on the basis of the Fibonacci sequence of this pattern the price action finally turned and so far it has produced more than 130% rally.
SMAs are showing move that can breakout the channel:
After starting the move the price action of Neo coin has formed an on the . And during the movement in this channel we have seen two major attempts by the price action to break out the channel. 1st attempt was made in the second week of May and second attempt was started from the 1st June and even at this time price action is trying to breakout the resistance of the channel. And if we watch the simple moving averages with the time period of 50 and 200 on the same then we have a very positive move by these moving averages as 50 is moving up to form a golden cross with 200 . If this golden cross will be formed then the price action will have a strong support of these two simple moving averages. And this cross can produce more powerful rally that can help the priceline to breakout the resistance of this .
Wedge formation and signals by exponential moving averages and bands:
Now let's switch to the weekly long-term chart. And here it can be easily observed that the price action of Neo has formed very big wege pattern on this weekly char. The formation of this pattern was started from November 2019 and sincethen the price action is not able to break out from this pattern. And this time the price action has again geared up and reached at resistance of the channel to break out. This time we have two major positive signals for the breakout. 1st signal is the is moved above the resistance of this . Therefore this time the priceline will not face the resistance of the as it has been facing previously while making the previous attempts for the breakout from this . And the second positive signal is that a bull cross is formed between the exponential moving averages with the time period of 10 and 21 just beneath the priceline. That can be also very helpful for NEO to breakout from the resistance of the . However if we watch the of the complete priceline moving within this pattern. Then we have the trader’s interest upto the support and while moving upward the is showing that trader’s interest is upto $11.5. And at this time the price action is at the area where the trader’s interest is weak, however the support of exponential moving averages and the position of the can help the priceline to break out from the resistance of this .
Now I would like to draw your attentions towards a very important indicator and that is . And on the chart it can be easily seen that the price action never able to break out from this cloud on the weekly chart. From June 2019 we have witnessed several attempts by the priceline to hit this cloud but so far all attempts are unsuccessful. At the moment the cloud is very weak and the price action has hit the cloud again for another try to cross up. At this time the resistance of the cloud is at $13 where the price action has already spiked. If we watch the lagging span of the cloud then it is turned and it has crossed up the . And the conversion line is moving up to cross the baseline once this cross will be completely formed then we can see the cloud will be turned (green color). And the can cross up this is cloud very easily. Once this cloud will be broken out then it will become a very strong support for the NEO coin that will lead to a very long term strong rally.
Let’s talk about the key level resistance:
Now If talk about the different long term resistance levels for the Neo coin. Then Neo has very strong resistance at $13. This resistance has not been broken out since after December 2018. Once it was broken out in June 2019 but while re-testing this resistance as support the price action failed to retain its position above this level. After move that has been started after the mid of March 2020. Finally the price action has again reached at this and if this $13 resistance will be broken out then we will have the next level resistance at $20 that is a key level resistance for NEO. Once this key level resistance will be broken out then it will be easy for the price line to reach up to the previous highest price ever in the history that is around $200 as on the long term the priceline of Neo has no significant resistance between $20 up to 200 dollars.
At this time it is important for the priceline of NEO to cross up $13 level. As at the same time $13 is the resistance of an and the and as well. Once this resistance will be broken out then price action can reach next key level resistance at $20 within no time. And once the $20 will be broken out then on long-term it can reach upto $2 level very soon.
Note: This idea is education purpose only and not intended to be investment advice, please seek a duly licensed professional and do you own research before any investment.