What's going on moon gang, i hope you're having a phenomenal day in this video i'll, be talking about neo, which happens to be the hottest electric vehicle stock over the past two months, and even with that run-up, more bullish news just came out i'll, be going over. What the analysts are now saying about neo and then i'll be doing a quick technical breakdown of the stock, but before i get into all that, if you're new to the channel don't forget to join the moon game by hitting the subscribe button, also, it would be Truly appreciated, if you could drop a like, because it really helps with getting this video in front of other people who may be interested, and now that i got that out of the way, let's get started. If you're a neo investor, there is quite a bit to be excited about, the stock has skyrocketed this year and now there's even more good news. The stock price of neo has received a price target increase from forty dollars to forty six dollars by jp morgan.

Jp morgan analyst nick lai, is maintaining an overweight rating on neo shares in a research note, lye told investors that neil will be a long-term winner in the premium ev space, with a 30 percent market share by 2025.. In my previous video related to neo, i explained that if you use tesla as a benchmark and extrapolate this 30 percent forward, that means that neo stock could easily clear 100. I would definitely recommend checking that video out i'll put a link in the description below this price target increase came on the heels of neo, announcing a new 100 kilowatt hour battery. This battery has cell to pack technology, which offers 30 percent higher energy density and increases the range of the vehicle to 615 kilometers, which is roughly 370 miles.

This technological advancement is actually a pretty big deal because the battery is the most expensive part of any ev. So any improvement really helps with the overall cost. This then brings us to one of the main differentiators of neo their bass model. The 100 kilowatt hour battery pack is going to be offered as a subscription-based upgrade for existing vehicles.

This service adds to neo's battery as a service model. I've spoken about this before, but to quickly sum it up. This business model is another thing that helps lower the overall cost of neos evs. There are also rumors that a 150 kilowatt hour battery will be revealed at the neoday event in january, so make sure to mark your calendars, and the range of that battery would be 900 kilometers, which would be roughly 560 miles.

This advancement would obviously help with one of the other main concerns surrounding electric vehicles, which is the range i'm expecting. A lot of hype and excitement surrounding the neoday event so definitely be prepared. Niklai wasn't the only analyst who raised their price target on neo. Another analyst from jpmorgan rebecca nguyen said that neil would be a winner in the electric vehicle market and she raised her price target from 41 dollars to 46, which is the same as nick, and she also reiterated her overweight rating.

She said the following: we believe neil will be a long-term winner in the premium ev space, with a 30 market share by 2025, a higher valuation can be justified, as neo is leading the transformation of its business model in china's smart ev market, similar to the phenomenon. We witness in e-commerce business now, even though neo is a relatively smaller company, it's proving that it's a competitive contender and i think that it will do extremely well in the coming years, but to get a better idea of what might happen in the immediate future. Let's switch over to the charts alrighty, the stock market has now closed for the day and neo actually put in a seemingly rare down day. I mean seriously ever since mid-october neo has been on a rocket ship directly to the moon in november alone.

Neo is up 35 and we're only 10 days into the month. With this type of rally, it is by no means uncommon to put in a red day, neo stock dropped 5.6, which puts it at 41.55 over the past week. It's still up 18. Over the past three months, it's up 213 and from the start of the year until now, it's up an incredible 941 percent if you've been keeping up to date with my neo-related videos, you'll be familiar with this technical analysis.

Unfortunately, if you're not yet invested in neo because of the size of this rally based on the most recent close, the closest support would come at the last relative high, which was just below 30, and that would be a decline of 29. If, for whatever reason, you think something very bearish is going to happen, you could always watch the last relative low around 25. This would be a decline of 38, but i also think that it's highly improbable, i think it's much more likely that a new support develops somewhere in this region between now and the end of the year, and just so you know i'm putting such an emphasis on Investing your core position around levels of support, because it's one way in which you could optimize your risk to reward. Obviously, though this is what works best for my own personal training style, so you should feel free to adjust it as you see fit.

So i've been talking about support, but in terms of technical resistance, the only obvious one is neo's all-time high at 45.29. The stock was rejected there today, but in all honesty we don't know much about the level of supply at this price. What we do know is that the rsi is showing readings of being extremely overbought. This is by no means a perfect indicator, but the last two times that neostock had an rsi reading above 70 a period of consolidation did follow.

I think that there's a pretty good chance that this pattern could repeat itself once again before another leg, up which could come as early as the next catalyst, which is the earnings report on november 17th. To get a better idea of what might happen between now and then, let's switch over to the four hour chart. I wanted to bring this time frame to your attention because it gives us a better look at the current technical structure. Ever since october 27th stock has been caught in this upward channel, which is also referred to as a bear flag, and that's because they commonly break downwards.

Today's action broke below this bottom trend line and it failed to get back up into the channel and i don't think it will in the immediate future because of what i'm seeing in the rsi. More specifically, i want to bring your attention to these two key points. Between november 4th and november 9th the stock made a new relative high, but the rsi didn't this is referred to as bearish divergence and it commonly means that the buyers are becoming exhausted. So when you consider this divergence with this bearish technical structure, it's telling me that there's a better chance of the stock coming down, or at least consolidating before its next move upward.

I personally find this to be a perfect situation, because i currently do not own any shares of neo and i would love to invest in the low 30s before the upcoming earnings announcement. One of my own trading rules is to not invest at all-time highs, but i really do want to hop on this rocket ship because i think that neo stock could hit 50 in the near future and honestly 100 won't be far after that. As things continue to develop both fundamentally and technically, with new i'll make sure to keep you fully updated in future videos so make sure you have your notifications turned on and also keep you posted on when i finally invest in the company. All in all, i think, there's a pretty good chance that neo stock will have to take its foot off the gas in the short term to allow for some price consolidation.

For me, this would be an excellent opportunity to invest for the long run. I strongly believe that neo will continue to grow at a considerable rate because it has impressive technology. It's well positioned in the massive chinese market, plus it has plans to expand globally and to top it all off. The ev sector is set to explode, both neo and its stock will be riding the wave for years to come with.

That being said, though, these are my own opinions, so make sure to do your own research. I would love to know your thoughts on neostock in a comment below thanks for watching to this point in the video. I truly hope that you found some value in it. It would be much appreciated if you could drop a like and if you haven't already don't forget, to join the moon gang by hitting the subscribe button and as a quick side note, if you're at all interested in the charting software that i use.

There's a link to a free 30-day trial in the description of this video thanks for watching and until next time best of luck in the markets, you.