NEO/USD Price Forecast: Elliott Wave Analysis Highlights Bullish Continuation and Potential Pullback

NEO/USD is currently in an impulsive wave (3) of a grand impulsive wave ((3)). The wave (3) has extended to 161.8% of the length of wave (1), suggesting that it may be nearing its completion. However, if the price falls below 9.85, the wave (3) will be invalidated, and a corrective wave structure will need to be considered.

NEO/USD Elliott Wave Technical Analysis Reveals Bullish Continuation and Potential Correction

Technical analysis of the NEO/USD pair using Elliott Wave theory suggests a bullish trend continuation within a larger impulsive structure, with a potential corrective phase emerging in the short term.

Primary Trend Analysis: Bullish Impulse (Wave 3)

• NEO/USD is currently in an impulsive wave structure, with the current uptrend representing Wave (3).
• Wave (3) has surpassed the 161.8% Fibonacci retracement level of Wave (1), reaching a high of 24.52.
• This bullish extension indicates a strong continuation of the uptrend.
• The Wave (3) remains valid as long as prices remain above the invalidation level of 9.85.

Counter-Trend Analysis: Corrective Zigzag (Wave C)

• Within the overall bullish trend, NEO/USD is experiencing a corrective phase.
• The current correction is taking the form of a zigzag structure, labeled as Wave (C).
• Wave (C) is expected to pull back approximately 61.8% of the preceding Wave ((1)), suggesting a potential decline to the 14.24 level.

Key Support and Resistance Levels:

• Support: 9.85 (Wave cancel invalid level)
• Resistance: 24.52 (high of Wave (3))

Implications for Traders:

• Traders bullish on NEO/USD should monitor the potential correction for signs of a reversal or continuation of the uptrend.
• Breakouts above the Wave (3) high or below the Wave (C) low would provide further confirmation of the respective trend direction.
• Conservative traders may consider entering long positions once the correction is complete and the uptrend resumes.
• Aggressive traders may consider short-term trades within the corrective structure, with careful management of risk.

Disclaimer: This technical analysis is for informational purposes only and should not be construed as investment advice. Always conduct your own research and consult with a qualified financial advisor before making any investment decisions.