TRX/USD - Broadening Ascending Wedge Scenario
Updated
TRX/USD has been trading above the low-0.02 range ever since early to mid May. Since then, an ascending broadening wedge has formed, and new highs in the 0.03 and low 0.04 range have been seen. We have since corrected downwards from those highs.
I believe that another confirmation of support at the lower bound of the wedge is needed soon for the sake of pattern continuation.
If the pattern is validated at that point, a move up should be made to test the upper bound of the wedge at the high 0.04 to low 0.05 range. Should this happen, a test of new highs should be seen in 5 to 10 days.
If the pattern breaks below the broadening ascending wedge, TRX/USD would likely return to the low 0.02 range that it was consolidating at between February and May.
I believe that another confirmation of support at the lower bound of the wedge is needed soon for the sake of pattern continuation.
If the pattern is validated at that point, a move up should be made to test the upper bound of the wedge at the high 0.04 to low 0.05 range. Should this happen, a test of new highs should be seen in 5 to 10 days.
If the pattern breaks below the broadening ascending wedge, TRX/USD would likely return to the low 0.02 range that it was consolidating at between February and May.
Note
Final Verdict:TRXUSD did find support at the lower bound of the wedge as anticipated. However, this did not result in a subsequent test of the upper bound of the wedge as indicated in the idea. Rather, TRXUSD has been trading sideways within the ascending broadening wedge. Momentum in either direction is yet to be seen.
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