- Enough buying pressure is required for a meaningful trend reversal;
- the weakness in the market could continue;
- taking Long trades is not yet advisable.
TRX/USD Long-term Trend: Bearish
Resistance levels: $0.024, $0.031, $0.041
Support levels: $0.015, $0.010, $0.0050
Last week, the price broke the resistance level at $0.024 to the downside, which led to a further decrease in price to the deep support level of $0.015. The bullish reversal took place at $0.015, the price moved up towards the resistance level of $0.024. This week has been started with consolidation.
There is a probability that the price might go down within the next several trading days, by making a break out towards the South at $0.015. On the daily chart the Stochastic Oscillator Period 14 is above the level 30 with the signal lines pointing towards the south, suggesting that there could be a bearish breakout. This shows that the weakness in the market could continue.
TRX/USD Price Medium-term Trend: Bearish
TRX/USD on the medium-term; the trend is also bearish, just like the long-term trend. Short-term rallies have been followed by further drops in the market to the support level of $0.015. There was a bullish retracement towards the resistance level of $0.024. The price drops with the formation of a bearish Doji candle. After a short consolidation, TRX/USD remains below the 10-day EMA (while the EMA 50 remains above the EMA 10). Long trades are not currently advised.
This week, the price has been ranging between the resistance level at $0.024 and the support level $0.015. A bullish signal could be triggered only when the resistance level of $0.024 is broken to the upside. That is, there is a need for enough buying pressure to be generated before a meaningful and dependable trend reversal can occur. Further southward movement is possible as the Stochastic Oscillator Period 14 is below 25, with the signal lines directed towards the south.