$NEO — Nibbling the Lower Channel: Can Bulls Launch an Impulse? 🚀

[theSignalyst]

$NEO has been respecting a rising channel for months. Price is rotating down toward the lower rail, where prior higher-lows formed — a classic area for a fresh impulse if buyers defend it.

Trend context: Higher-timeframe bullish (higher highs/lows inside channel). Pullback on the daily into support.

Key levels

Support: $5.60–$5.50 (lower channel / demand cluster)

Resistance: $6.40–$6.60 (first hurdle), then $7.20–$7.60, with the channel top near $8.3–$8.6

Confluence

Lower channel + prior pivot zone = decision area where risk/reward skews long on confirmation.

Scenarios

Bullish : Hold $5.60–$5.50 and print a higher low → push toward $6.6, then $7.2–$7.6, with scope to the channel top (~$8.5) if momentum expands.

Bearish : Daily close below $5.50 would break channel structure and expose the next liquidity pocket lower before bulls can try again.

Plan
I’ll look for longs on bullish reaction at the lower rail (rejection wick / engulfing / break of minor LH). If no reaction, I’ll wait — no hero buys into a broken channel.

Do you buy the first tap of the rail or wait for a reclaim above $6.6 for momentum entry?

️ Disclaimer: This is not financial advice. Always do your own research and manage risk properly.
Stick to your trading plan regarding entries, risk, and management.

Good luck!

All Strategies Are Good; If Managed Properly!
~Richard Nasr.