Search ForexCrunch
  • TRX/USD trades 2% higher today despite other major cryptocurrencies struggling.
  • There was a bullish divergence on the chart the could have given us a clue to the price breakout.  

 

TRX/USD has broken out of a long term trendline that started back in June.  

On the daily chart below I have highlighted the price making a lower low while the relative strength indicator (RSI) making a higher low. This is called a bullish divergence and can indicate a momentum slow down in the bearish trend.

Now the next target on the way up could be the resistance level at 0.018884 just under the psychological 0.020000 area.

For the trend to change into a bullish one the price would need to break that level and sustain the recent amount of buying volume.

The volume profile indicator on the right-hand side is showing that the price is heading toward the mean value area at 0.017600.  

These value areas often act as a sticking point for price and could slow down the momentum of the trend change.

Tron analysis