NEO Heading For Edge to Edge Test (+15% On Offer)
Hi All,
Welcome back to WarwDogs War Room.
We have had some choppy movements in the market over the last few weeks with most alt coins showing nice upward momentum, time to share some of the success around.
Today we are looking at NEO on the daily chart:
As you can see, price has shot up violently through and closed into the kumo cloud on the 29th of April, we are now experiencing a drawback from that sudden momentum as the RSI has began to reset to a level that we can begin to move forward with more upwards momentum.
The drawback has pulled down to the convergence of the triple EMA (20/50/100), the conversion and base lines of the ichi moku setup. These factors tie together to create a heavy support zone between the 0.008300 and 0.008900 price range. I would be surprised if we were to see NEO break below these levels baring any major negativity in the fundamental sector or heavy movements in BTCUSD.
At this point we will be looking for a bounce off the convergence of the EMA levels before making a move upwards to test the edge of the cloud line at the 0.010000 line, which given an entry at the bounce zone (circled in red) 0.008600 will return a +15% profit against the trade. If we manage to break through the 0.010000 line and form a close on the daily time frame we could potentially see a much greater upwards movement through the resistance greater than the original +15% on offer.
Allow time for this trade develop as we are looking at the daily chart here gains will be realized over a longer period of time.
Welcome back to WarwDogs War Room.
We have had some choppy movements in the market over the last few weeks with most alt coins showing nice upward momentum, time to share some of the success around.
Today we are looking at NEO on the daily chart:
As you can see, price has shot up violently through and closed into the kumo cloud on the 29th of April, we are now experiencing a drawback from that sudden momentum as the RSI has began to reset to a level that we can begin to move forward with more upwards momentum.
The drawback has pulled down to the convergence of the triple EMA (20/50/100), the conversion and base lines of the ichi moku setup. These factors tie together to create a heavy support zone between the 0.008300 and 0.008900 price range. I would be surprised if we were to see NEO break below these levels baring any major negativity in the fundamental sector or heavy movements in BTCUSD.
At this point we will be looking for a bounce off the convergence of the EMA levels before making a move upwards to test the edge of the cloud line at the 0.010000 line, which given an entry at the bounce zone (circled in red) 0.008600 will return a +15% profit against the trade. If we manage to break through the 0.010000 line and form a close on the daily time frame we could potentially see a much greater upwards movement through the resistance greater than the original +15% on offer.
Allow time for this trade develop as we are looking at the daily chart here gains will be realized over a longer period of time.
Today we saw a bounce off the bottom support (Ichi Moku base line) almost perfectly. Great entry opportunity currently as we wait out the close of this daily candle.
Providing BTC holds stable over the 9100 critical support level we should see a strong rally upwards from this point.
Stop loss set below the current extension of the daily candle