NEO' has finally broken out of the consolidation channel and appears to make another bull run. Now this is the start of a bull run so we must be cautious as we know that running with the bulls can be dangerous if for some reason the rug gets pulled out. But we have several bullish signals which is enough for me to add to my position for a longer term trade. Technical 1) broke the horizontal consolidation box and retested the channel 2) strong move and breached the upper linear regression (1 std deviation) 3) RSI indicator broke 80 and did not dip below 40
Fundamental NEO' is the ETH' of China, and now that we have regulations being implemented, this allows good, valid crypto currencies to bring in more mainstreet investors. We mentioned in several previous articles that China wants to be a world leader and not a follower. What do leaders do? They lead by example, and have taken the steps to implement regulations that will bring legitimacy to the crypto currency market. Crypto currencies will change bartering, trade, and the financial systems as we know it and China wants to lead not follow. Trond Undhiem coined crypto currencies "the internet of value" in a fortune magazine article from 2014 for which was titled "why banks fear bitcoin". What crypto (besides BTC') is in a better position in China than NEO? (If there is one please let me know in a respectful manner)
Why is China an important market? Well China does over 5.5 Trillion dollars a year in digital payment five (5) times that of the US. China is the world leader in trade. Internet of value and change the way we barter trade and finance come to mind. I recommend reading that article was eye opening and then you'll know why I am buying into NEO' right now.
Have you seen the price of gas lately? I don't mean at the pump, I mean the dividend that NEO' pays currently at 0.007 btc which is about where NEO' is trading. The dividend comes out to about 7% a year at the current price. It doesn't get any better than this.
Those that have followed for a while know I like a working product, first to market, great team, and venture fund interest. Well sometimes in life you have to take a gamble, and if I'm going to gamble on a coin its NEO'. I had bought a position in August and the intent is to trade the trend with the intent to add coins to my core position of NEO'. This is a long term trade and intend of holding the trade for several months to a year, subject to change based on market conditions. But if it grows anything like ETH' did, I want to be well positioned for long term growth!
Thanks for reading look forward to your comments!
Komen
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Please note I have taken some profits off the table along with half of the trade position just in the event BTC pulls back and drags the market down with it. My stop will be my entry which would result in a 8% profit overall. I am happy with that.
Komen
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Closed trading position for those keeping track. still have the core position have not touched it. This is why we must always monitor trades and if we see something not right we take money off the table. Did a little better as the initial entry was 0.0075 closed 50% of it at 0.0081 and the remaining at 0.0077. That taking off the table made a difference between 2.5% and 5% overall profit. the 8% was a mistake and was the first profit trade. Money management is key!
NEO isn't the ETH of China, Neo is a smart economy , running application like eth is one of its many features , it true its from China , but now it has global acceptance and developers . The Good thing about NEO is that its the first platform to be in compliance with the regulation of China , which is a great thing.
Another misconception is that Gas is a "dividend" , Gas is the currency of The Neo smart economic , you are paid for holding NEO with Gas because of the rules of consensus on the NEO SMART ECONOMY which DBFT - Dedicated Byzantine Fault Tolerance , which is closely similar to POS - Prove of Stake , which Eth is having difficulty implementing , they are stuck with miners and POW- Prove of Work consensus , for this reason alone NEO can't be compared to Eth . NEO has capabilities to complete 10,000 tps while ETH is about 10 tps.
goldbug1
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@ekeneobi, Great points, and appreciate the additional tech perspective. Just to clarify you are saying NEO is better than ETH?
@ekeneobi, the use and purpose of NeoGas within the ecosystem is one thing. From the investor's perspective, gas is a dividend. Saying that it's the "Ethereum of China" is an oversimplification and they do not correlate in terms of purpose, but what exactly is the issue? It's based in China and has a major advantage over ETH in China, so again, how does that invalidate the title? I wouldn't be too literal about it.
goldbug1
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@SafeGamble, It's a dividend to me, I get paid for holding coins. It's splitting hairs so why argue.
blacksea00
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Thank you and just a small remark... if btc falls to 3k neo will be around 14-15 usd, doesn't matter if is looking to good now... i made same mistake last time... thinking NEO is on his own and is not affected by BTC price... totally wrong i was :(
goldbug1
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@blacksea00, I didn't sell any of my core position to be clear, only the added position that was a side trade. And your point is the reason i took some off!
AnaKingKong
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@goldbug1 Take a look and tell me what do you think about it
goldbug1
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@AnaKingKong, I would want to see at least two to 3 points to confirm more like a continuation flag pattern if you draw a channel. keep drawing trend lines, need more than 2 though to confirm a trend line!
AnaKingKong
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@goldbug1 Done
Doing nothing until price continue inside pattern which is a mark of fail or breaking upper border which a mark of success is the safer strategy as much as waiting see 3 points
Another misconception is that Gas is a "dividend" , Gas is the currency of The Neo smart economic , you are paid for holding NEO with Gas because of the rules of consensus on the NEO SMART ECONOMY which DBFT - Dedicated Byzantine Fault Tolerance , which is closely similar to POS - Prove of Stake , which Eth is having difficulty implementing , they are stuck with miners and POW- Prove of Work consensus , for this reason alone NEO can't be compared to Eth . NEO has capabilities to complete 10,000 tps while ETH is about 10 tps.