TRON ($TRX) ♦️ | Tron Update is Bullish, but Bulls Need Momentum🆕 TRON 4.0 is coming out today and the trend looks solid, it is no wonder we have seen some bullish chatter and charts going around recently. While we agree that the trend looks good, we are now heading into some stiff resistance right as Tron 4.0 launches.
What the bulls need here is "upward momentum on the news" (although to be fair, master marketer Justin Sun has planned a "BIG" announcement for tomorrow; so traders won't want to sell / short the news just yet).
TRXUSDT is a large cap coin, as such it is heavily correlated to the rest of the market (ie. Bitcoin's movement and such). Given that, the TRX bulls will need to see TRON break away from the Bitcoin and the other large cap coins as most are currently range-bound right now.
Let's chart some levels for the bulls (and for the bears as well).
Support:
First up we have the S1 bullish S/R flip, this is a good candidate for a shallow pullback that leads to bullish momentum.
Next, we have the more substantial S2 bullish orderblock which could act as support for if S1 can't. Breaking above this point showed great strength previously, so it would be a logical level to retest.
If neither of those hold, the bulls would be looking for the S3 S/R and prior price pivot point. S3 could come into play if the rest of the market shows temporary weakness and drags TRX down with it.
Resistance:
As you can see we have a ton of resistance on the chart, all of which was formed from the price action during the COVID crash.
Firstly we have the R1 previous swing high range which contains both an orderblock and S/R flip. This is a logical place to find resistance, and we are currently testing it now.
With that said, the bulls are going to hope to push ahead here and take us to the R2 S/R flip cluster before pulling back.
Next we have the R3 orderblock cluster, which like R1, is formed from the previous swing high range.
R4 and R5 are both order blocks formed from failed swing highs.
Finally, the R6 orderblock and S/R cluster is notable in being the last line of resistance from the COVID crash.
Summary:
The way forward for Tron bulls betting on 4.0 and that next bit of news is clear, but it is filled with resistance. It'll be hard to break that resistance without momentum from the bulls. The news is there for Tron, but with the rest of crypto range-bound, Tron bulls will really have to step up or get lucky and see the rest of the market rally soon.
Resources: thetradable.com
✨ Drop a comment asking for an update, we do NEW setups every day! ✨
Like, Comment & Follow to help the community grow 🎉🎉
---
1. Fractal Trend is showing an uptrend (Aqua colored bars) on the 4-hour timeframe. This is indicative of the continued strength ETH has been showing.
2. With this strategy, we are looking for long setups in an uptrend and as such want to enter long on retests of bullish order blocks plotted by Orderblock Mapping (Aqua colored lines) and/or bullish S/R levels plotted by Directional Bias (Aqua colored lines).
3. The play here is to take a long position at the S1 S/R flip + orderblock cluster with a target of the R1 bearish orderblock + previous swing high. With that in mind, we see a similar price action pattern showing up here, and while the pullback to our entry seems quite substantial, I bet everyone thought that when it first happened from 190 - 160.
4. Our stop loss is placed just below S1 as this play is all about seeing a continuation of strength and a retest of local support as opposed to a retest of the previous range.
Good luck fam!
