- NEO came close to critical resistance of $10.00.
- The upside momentum has faded away on approach to a strong barrier.
NEO is performing strongly on Wednesday. The 20th largest digital asset with the current market value of $69 million gained over 7% both on a day-on-day basis and moved nearly 3% higher since the beginning of the day. At the time of writing, NEO/USD is changing hands at $9.80, off the intraday high of $9.87. The coin is moving in sync with the rest of the market as there are no NEO-specific reasons for the strong growth.
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NEO/USD, the technical picture
On the upside, NEO recovery is capped by SMA50 (Simple Moving Average) daily currently at $9.92. This barrier separates us from a strong psychological hurdle of $10.00. Once it is out of the way, the upside is likely to gain traction with the next focus on $11.45 (SMA200 daily) and $12.00. It is worth mentioning that the coin has been trading below SMA50 daily since mid July. It means thatthe bulls may have hard time clearing this resistance.
On the downside, the initial support is created by SMA200 four-hour currently at $9.30. It is followed by the middle line of one-day Bollinger Band on approach to psychological $9.00. A sustainable move lower will take us towards the recent low of $8.08.