New Economy Movement (XEM): Be Suspicious of an Early Corrective Bottom

SUMMARY

For New Economy Movement (NEM), the below chart would seem attractive as an entry because I've often said that the best time to cast a buy ladder is usually at the terminal end of a correction. So, then the big question is as to whether the current level represents the terminal end of a correction.

Pattern of a wedge looks quite bullish and perhaps a breakout is happening as well (white circle). Elliott Wave of a higher degree of trend 1 and 2 could also help guide future projection. MACD also looks bullish and supports further upward price movement.

However, be always aware that it would be unusual for an Altcoin to place a speedy correction. The rate and time length of a correction is dependent on the level of lquidity maturity of that coin. In other words, the wider the coin is held, the greater number of exchanges its traded in, the narowness of he bid to ask prices, etc etc are attributes of liquidity maturity. The below chart puts into awareness the likelihood of this correction to undergo the Basin Zone where price goes flat and horizontal with small up/down movements. This zone represents the final churning process prior to the next rise. Keep an eye out for this potential.

Legal Disclaimer: I am not a financial advisor nor is any content in this article presented as financial advice. The information provided in this blog post and any other posts that I make and any accompanying material is for informational purposes only. It should not be considered financial or investment advice of any kind. One should consult with a financial or investment professional to determine what may be best for your individual needs. Plain English: This is only my opinion, make of it what you wish. What does this mean? It means it's not advice nor recommendation to either buy or sell anything! It's only meant for use as informative or entertainment purposes.

Please consider reviewing these Tutorials on:
Elliott Wave Counting Tutorial #1
Elliott Wave Counting Tutorial #2
Elliott Wave Counting Tutorial #3
Laddering and Buy/Sell Setups.
Laddering Example with EOS
Tutorial on the use of Fibonacci & Elliott Waves
@haejin's Trading Nuggets
Essay: Is Technical Analysis a Quantum Event?

Follow me on Twitter for Real Time Alerts!!
Follow me on StockTwits for UpDates!!
--
--