What is up moon game? It's been a while, since we've talked about neo, so i think we are overdue for an update in this video. I will briefly be going over the recent stock offering and after that i will be doing a technical breakdown of neo stock. I will be mapping out all the key price levels that will be in play in between now and the end of the year before we get into all that, though, don't forget to join the moon gig by hitting the subscribe button and dropping a like all that Support is truly appreciated and now without further ado, let's get started. Alrighty.

Here's a headline for the moon gang neo just raised three billion dollars. Neo says that its planned stock offering has closed, and then its banks opted to buy extra shares. Over and above the original amount planned, neo's offering of 68 million shares was completed on wednesday december 16th at a price of 39 per share, raising about 2.65 billion before fees. In addition, the bank's underwriting its offerings - morgan stanley and china, international capital corporation, have opted to purchase an additional 10.2 million shares at the same price once that add-on offering is completed, neil will have raised about 3 billion neo said last week that it plans to use The proceeds of this offering to develop two new vehicles.

They are looking to introduce two new sedans in 2021 to fund its continuing research and development of autonomous vehicle technologies. I'm sure a portion of this will be their battery as a service, tech and finally, and to expand its sales and service network. They do have plans to expand into europe in the year 2021. All of this was pretty much expected and it really wasn't that big of a secret that neil was doing the offering in the first place.

Overall, i would argue that this is a bullish update though it seems as if neo's management is putting all the pieces into place, so they can successfully ride the ev wave into 2021 and beyond. So what has neo been up to? Well, it closed out the third trading week of december by gaining 1.5, which puts the stock just below forty seven dollars per share across all the major time frames from one week back to one year. Neo stock returns are in the green and from the start of 2020, until right now, neostock is up an incredible 1062 percent. This is the current technical situation that neo is in for those of you who are new to the channel.

Here's a quick recap: neo really came onto the scene in june of this year and for quite a while. It was following this blue trend line and then in october, when the rest of the ev sector was struggling, neo actually had a bullish breakout. It made a new relative high of 30 and then once it reaffirmed this trend line, the stock exploded all the way up to 54 dollars per share. This is precisely when citron came out with some bearish comments on the stock, but i really wouldn't put too much weight on that, because they've also said negative things about both tesla and nvidia and look at where those stocks are now after a small pullback.

Neo then made a rally to its current all-time high of 57 dollars and 20 cents. Unfortunately, the momentum died out and neo was forced back down to the support of 38. For the second time. Eventually, the bull camp found some value in these prices and pushed neil back up to 48, where it was actually rejected.

One two three four five separate times this fifth rejection ended up, leading to a bullish undershoot of the support at 38 and from there the stock has been bouncing, and it now looks like we're on our way to test this region of resistance for time number. Six. Moving forward, i will mainly be paying attention to this area between 48.50 and 49.50. If the bulls end up winning the next resistance would come at a relative high from november 13th at 54 and past that we have the all-time high from the most recent close to get to those two levels.

The first one would be a gain of 16 percent, and the all-time high would be a gain of 22 percent. However, if attempt number six isn't the lucky one, you should also be aware of the closest supports. The closest one based on the most recent close would come at 45, 30 and past that we have 38. to get to that.

First, one new would decline almost 3 percent and then 38 would be a drop of 18. Now, i'm in no way saying that neo is about to drop. In fact, the chart does look pretty bullish and things will be very bullish if neo can get above 49.40. But i just want to point out that this region's in green, because if neil were to return to it, i would view it as an excellent investment opportunity.

Before we move on to the four hour chart. There is one thing going on in the rsi that i would like to bring to your attention back on november 13th and then again on november 24th, the stock made a new relative high, but the rsi didn't. This is referred to as bearish divergence and it's commonly followed by either a decline or period of consolidation, and that is exactly what we saw in neo. But now, let's look at the two most recent relative lows: the stock is now higher, but on the opposite hand the rsi was lower.

This is referred to as bullish divergence and it's commonly followed by an upswing in the stock's price. Clearly there has been great follow-through on this, because neo has had five green days in a row which makes me very confident that it will at least go up to test this region of resistance. Now, to get a slightly better idea on how the stock might react to this area, let's check out the four hour chart. I wanted to quickly mention that the name of this charting software is trading view and, if you're interested in trying it out, there's link to a free 30-day trial in the description of this video, okay back to neil so from mid-october.

Up until mid-november, the stock was in this upward channel, which is referred to as a bear flag and that's because they commonly break downward. However, this one most likely broke downward because of citron's bearish comments and when that happened, the stock ping pong back and forth for a bit and formed this triangle, which is referred to as a bullish, pennant bullish, pendants do commonly break upwards and after building support at 45, that's exactly what neo did and it rallied to its current all-time high from this point. Neo did start selling off and we eventually saw the formation of this downward channel, which is referred to as a bull flag, and there was a breakout around december 8th and it started riding this top trend line up until the most recent relative low on december 14th. Obviously, from this point, the bulls then pushed neo up in a pretty systematic fashion.

I really like how the bull camp was able to defend this trend line and then, as it was getting very close to this support at 38 dollars and the rsi was getting very close to the oversold territory. It finally triggered a bounce over the next few training days. I am fully expecting the market to figure out how much supply is in this region of resistance and then depending on who wins that fight that would set up a rally up to 54 or a rejection down to 45 in the short term. I can really see this breaking either way, but in the long term i would argue that neo is starting to build up some bullish momentum and i think it's just a matter of time before we see a new all-time high, as things continue to develop, i would Recommend paying attention to these levels of support and resistance, and i would especially watch this region of resistance between 48.50 and 49.50.

On top of that also make sure you're watching for divergence being formed in the rsi. As new information continues to roll in and as neoshark continues to progress, i'll make sure to keep you updated in future videos so make sure to have your notifications turned on. I would love to know your thoughts on neo in a comment below. How long do you think it'll take for this stock to hit a brand new all-time high, and how do you think that neil will perform overall in the year 2021, if you have any questions feel free to post those as well? If you enjoyed this video, don't forget to drop a like, and if you haven't already don't forget to join the moon game by hitting the subscribe button.

All that engagement is truly appreciated. Also, i have two quick reminders for you. Don't forget that this upcoming trading week is a shortened one because of the holidays and if you're interested in free stocks there's a link to the weeble trading platform. In the description of this video, thanks for watching and until next time best of luck in the markets, you.