Neo Price Analysis: NEO Coin‘s Trading Pattern Will Definitely Excite You

• NEO Coin price failed to sustain at the upward sloping line of resistance.
• The crypto asset trades above all 20, 50, 100, and 200-days DMA. 
• NEO/BTC pair price is CMP at 0.0006482 satoshis with an intraday gain of 5.64%.

NEO Coin price is presently CMP at $26.01. The 24-hour trading volume has significantly increased by 190.17%. However, the bulls need to sustain the coin at the neckline. The market cap value of NEO has also increased to 4.38%, and the volume to market cap ratio is 0.3752. 

NEO Coin is making an inverse head and shoulder pattern over the daily chart. The token failed to assist further the resistance level that is the neckline.

The bulls failed to sustain for two main reasons: low trading volume over the daily chart. The bulls also failed to maintain the trading volume above the average line. The second reason might be the down surge of BTC from a few intraday trading sessions. Looking upon the current outlook of the market, the NEO coin is conservatively trading an inverse head and shoulders pattern. 

Trading an Inverse Head and Shoulders Conservatively

The NEO coin is conservatively trading an inverse head and shoulders over the daily chart. The token tried three times to break out of the upward sloping line (resistance line) but failed, resulting in an inverse head and shoulders pattern. The bulls have to increase the trading volume in the intraday trading session. In simple words, NEO Coin has to attract more buyers. 

Investors can wait for the price to close above the neckline. Which means effectively waiting for confirmation that the breakout is valid. 

What do Technical Indicators say about sustaining?

The technical indicators exhibit the struggle of NEO Coin to break out of the neckline. Relative Strength index forecast return of NEO from the Overbought territory. RSi is currently at the 64 mark. Any directional change can be expected at 70.

MACD showcases the bullishness of the NEO coin. The slight upward momentum of the token can be observed over the daily chart, during the struggle of the coin at the neckline.

Conclusion    

The token is presently struggling to break out of the neckline. To register a strong bullish momentum, the coin needs to break out of the neckline positively. A limit order could be placed at or just below the fragmented neckline in an attempt to get an implementation on a retrace in NEO Coin price. Waiting for a backtrack probably results in less slippage. However, there may be the possibility of missing the trade if a pullback does not occur.

Technical Levels

Support Level: $21.00 and $20.50

Resistance Level: $27.50 and $31.65

Disclaimer 

The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish the financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.