NEMUSD, Massive Broadening-Wedge, Important Zones And Scenarios!

Hello Traders Investors And Community,

Welcome to this analysis about NEMUSD or also called XEM, on the 4-hour timeframe perspective, the recent events, the established formational structure and what to expect in the upcoming times. The altcoin market in the recent times is developing some interesting formations in the individual certain coins and it needs to be elevated that the divergence between the coins is increasing more and more in the last times with coins showing more bearish developments, while others have bullish structures as well as others which remain in a more neutral state. These divergences are important when considering a potential arbitrage in the market, it is necessary to distinguish these divergences and come up with the proper conclusions which do not mean there are no opportunities to properly advance with.

Broadening-Wedge-Formation:
As when looking at my chart now we can watch there how NEMUSD has formed this massive descending-broadening-wedge-formation with the coherent wave-count in the formation and the wave D currently forming. At the moment NEMUSD is still holding above the 25-EMA in red however when it breaks out below this EMA it will be the origin for further bearish continuations to the downside. Mainly it is likely that NEMUSD continues with its wave-D development which will directly approach this serious main resistance-cluster marked in red in my chart where several resistances coming together and therefore likely to determine a pullback which will be the highly potential source of the wave E to the downside.

Two Potential Upcoming Scenarios:
Once NEMUSD approaches the upper resistance-cluster and continues with the wave E there are basically two possible scenarios on how NEMUSD can continue in its structure, the first is when NEMUSD manages to approach this local ascending-trend-line in the broadening-wedge and bounce within to complete the wave-count and show up with a broadening-wedge-breakout when the right demand settles and NEMUSD breaks out above the upper-boundary. The second scenario is when bearishness increases exorbitantly in the structure and bulls do not have the ability to bounce in the support and back-up, in this case when NEMUSD closes below the ascending-trend-line this will be the origin of the wave-E-extension to the downside and NEMUSD will look for a potential stabilization with ongoing back-up and completion of the broadening-wedge lower in the structure.

In this manner, thank you for watching my analysis about NEMUSD and its broadening-wedge with the important levels and scenarios we should consider in the upcoming times, will be great when you support it with a like and follow or comment, great contentment for everybody supporting, all the best!
"The past, like the future, is indefinite and exists only as a spectrum of possibilities."

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Information is only educational and should not be used to take action in the market.