We also can't treat formal training as something that is far superior to informal training.
That's right, Chad does have ranged attacks here. And he can also sense reiatsu. Is there some reason why he wouldn't be able to sense Neo while she's doing her illusion stuff? Unless her illusions are going to put out some kind of false reiatsu trail. Sure, he might be thrown off visually, but if he can sense reiatsu, it still may not be as large a deal.
Largest issue with Neo is that for her to do damage, she much be up close, and she has to land a hit. Whereas Chad has a giant shield on his arm that can enhance his physical abilities that he can use to casually defend against energy attacks, let alone punches and kicks.
I'm also fairly certain that Neo hasn't fought someone who uses an informal brawler fighting style with a big arm that functions as a shield, plus energy attacks and a sixth sense. Teleportation helps close the distance, but doesn't get her past Chad's shield arm, something Yang doesn't have.
Like, I honestly find it a bit difficult for Neo to get past that in it of itself. As what does a shield have to do with specializing against brawlers? She still has to get in close, and Chad can bat her away with shield and ranged attacks that have decent AoE. Getting fooled by an illusion or two isn't going to provide Neo enough damage to really get to Chad, especially given that she is weaker, even if only by 50%.
Right now, though I'm leaning towards Chad, I'll go more with inconclusive. Illusions aren't going to work more than once or twice due to Chad's reiatsu sensing, and just his general intelligence, and his shield of an arm gives him an easy way to defend all of Neo's offensive options. On the other hand, it'll be difficult to hit Neo due to her teleportation.