Distribution Territories: $0.024, $0.026, $0.028
Accumulation Territories: $0.022, $0.021, $0.020
TRX/USD Medium-term Trend: Bearish
TRX/USD is in bearish trend in the medium-term outlook. The bears held tight to the market as they broke the former strong accumulation territory of $0.024 pushing the price further south gradually.
The bears’ pressure was obvious at $0.024 former accumulation territory on October 23 when bearish engulfing candle formed and the 21-day EMA crossed the 50-day EMA downside, which indicates downtrend movement.
The upward price move was rejected at the 50-day EMA that acted as a strong resistance on October 26 with the formation of gravestone Doji candle. More bearish candles are forming below the two EMAs, also the two EMAs are fanned apart.
This implies more seller presence and strength in the context of the trend. In this scenario, the downtrend is valid as the downward trend line from the chart attests to this. The stochastic oscillator is above 25 level with its signal lines point to the north.
This means that TRX price may retest the 50-day EMA that acted as a resistance before continues its downward trend. $0.022 accumulation territory may likely be the bears’ target in the medium-term.
TRX/USD Short-term Trend: Bearish
Tronix is bearish in the short-term. The downward movement was smooth as the bears broke the former accumulation territory of $0.024, retested it and took the price on a free fall toward $0.022 accumulation territory.
TRX price was touching the trend line before continues its downward movement with the bulls pushing up the price.
The bulls’ activities should be seen as pullbacks for the market correction for downtrend continuation. You will notice rejection to the upside at the trend line. Likewise, the bullish momentum may likely see rejection as it touches this trend line. Stochastic Oscillator is above 50 levels with trend lines point to the south which indicate a continuation of a downward trend.
