The 4hr timeframe of Tron (TRX) as shown below is annotated and the numbers indicated on the chart are discussed below in an ascending order:
(1) This is a falling wedge that captures Tron’s price action between May 12, 2018 and July 12, 2018. The chart pattern is bullish (albeit not 100% of the time). Termination of the wedge falls on the major bullish trendline for Tron (TRX) that is discussed next.
(2) March 18, 2018 (not shown here), July 13, 2018 and July 18, 2018 are pivots used to draw the major trendline for Tron. At least 2 points required to draw a trendline therefore means that the trendline as drawn is valid. Expectations would be for Tron (TRX) to find support at the bullish trendline and price resume bullish action. However, a close below ~0.00000509 would imply further move to the downside as that would mean a breach of not only Tron’s major trendline, but also the current consolidation in price action.
The dotted black line indicates a bearish trendline in Tron established from ~June 19, 2018 to July 18, 2018. It is important to note that the trendline intersects a horizontal region of overhead supply (i.e. resistance) therefore increasing the odds that sellers currently dominate between 0.00000629 and 0.00000588 as indicated on the chart.
(3) The relative strength index (RSI) as shown here has a positive rising slope which implies potential bullish action for Tron. However, this is negated by momentum on the Weekly tf.
Based on the observations above, this analysis favors a consolidation at best with further downside (sell) awaiting Tron (TRX)
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