NXS Technical Analysis: Broken Trendline Retest Warns 20% Fall

Key technical points:

Past Performance of NXS

NXS prices start a downfall after failing to sustain above the $0.35 mark resulting in the fallout of all the crucial DMAs. The downtrend results in forming a bearish trendline that has kept multiple bullish attempts within check, accounting for a 73% downfall. However, the buyers step in at the $0.10 mark resulting in the resistance trendline breakout.

Source- Tradingview

NXS Technical Analysis 

The bullish breakout of the resistance trendline struggles to surpass the $0.16 mark resulting in a retracement to retest the broken trendline. However, the retest phase forms a three-black crow pattern formation indicating a potential downfall under the resistance trendline. Due to the bullish reversal, the 20 DMA fails to maintain the dynamic bearish pressure that kept the bearish trend in motion. However, the retracement cracks under the DMA and teases a potential fall under the trendline.

The RSI indicator shows a retracement cracking under the 14-day SMA after the rejection near the halfway line. Furthermore, the MACD and signal lines showcase a loss in a bullish spread that may shortly give rise to a bearish crossover. Hence, the technical indicators reflect a rise in the underlying bearishness and increasing chances of downfall to $0.10. In a nutshell, NXS technical analysis displays a high possibility of a bearish reversal under the resistance trendline.

Upcoming Trend

The NXS traders should expect the negative retracement to reach the psychological threshold of $0.10 as the selling pressure increases. On the other hand, the bullish retrieval from the resistance trendline will trigger an uptrend that could breach the $0.16 mark.

Resistance Levels: $0.16 and $0.20

Support Levels: $0.10 and $0.095