Tron price analysis: TRX/USD ready for the next move up

At the time of writing Tron (TRX) coin is trading at $0.02129, there is formation of Flag pattern with price currently between pennant, the pole height is 0.00192 adding this to the bottom of pennant we get the target of $0.02288, already we see the price tried to break out of the pennant but now top of pennant is acting as support.

Dow Theory

According to Dow Theory the Coin is currently appearing in the starting of public participation phase, during this phase, negative sentiment starts to dissipate. This phase tends not only to be the longest lasting, but also the one with the largest price movement. It’s also the phase in which most technical and trend traders start to take long positions, as the new upward primary trend has confirmed itself – a sign these participants have waited for.

Bollinger Bands

Price is moving between the channels, previously the Bollinger band after squeezing expanded with positive momentum, currently the band is squeezing indicating decrease in volatility, as soon as the band starts expanding we can expect the start of trend if the momentum is positive it will be uptrend and if momentum is negative the trend will be downtrend

Moving Average

Taking 9 period moving (blue) averages with 21 period moving averages (red), Bullish crossover is seen, with price moving above 21 period moving average and 9 period moving average, previously the price was trading below the moving averages which was not a strong signal for uptrend, but now the price is both trading above moving average and showing bullish crossover.

Conclusion

Looking the chart we see flag pattern with price already ready to break out of the pennant, we have target of $0.02288 with flag pattern, current support is at $0.02139, considering other factors we see bullish crossover of moving average, positive RSI, squeezing Bollinger bands indicating soon the price will move in the direction of momentum, with momentum being positive we can expect the price to go upwards, if price fails to breakout then the flag pennant can be used for swing trading, with upper limit acting as resistance and lower limit acting as resistance.

About Mantas Malukas

Mantas is the founder of DappLife, crypto investor and an online entrepreneur who has professionally immersed in digital publishing and development for over a decade.