TRON Price Analysis TRX / USD: $20M Buyback Bull Move
TRON is bullish again after announcing a new buy-back initiative.
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- TRON has an increasingly bullish short-term outlook, with the cryptocurrency testing towards the current 2019 trading high
- The four-hour time frame continues to show a valid inverted head and shoulders pattern
- The daily time frame shows sizeable amounts of bullish MACD price divergence
Fundamental Analysis
TRON has gained momentum after the project announced a $20 mln buy-back plan. The buy-back is done to promote community activity, will last for a year and will be conducted in several batches. It is likely to increase speculative interest in the coin.
TRON / USD Short-term price analysis
TRON has a bullish short-term trading outlook, with the cryptocurrency testing towards the current 2019 price high.
The four-time frame shows that a large inverted head and shoulders pattern has now formed, with TRX / USD pair probing towards the neckline of the bullish pattern.
Technical indicators on the four-hour time frame are starting to appear extremely overstretched to the upside.
Pattern Watch
Traders should note that the June 2018 trading high is the overall upside target of the bullish pattern on the four-hour time frame.
Relative Strength Index
The Relative Strength indicator is bullish on the four-hour time frame and is also extremely overbought.
MACD Indicator
The MACD indicator remains bullish on the four-hour time frame, although it is starting to appear extremely overstretched.
TRON / USD Medium-term price analysis
TRON has an increasingly bullish medium-term outlook, with the cryptocurrency continuing to post major new higher highs on the daily time frame.
The daily time frame is showing that a major technical breakout is underway, with the TRX / USD pair trading above the neckline of a large inverted head and shoulders pattern.
Technical indicators on the daily time frame are bullish and show scope for further medium-term upside.
Pattern Watch
Traders should note that the daily time frame shows substantial bullish MACD divergence, which extends back towards the June 2018 trading high.
Relative Strength Index
The RSI indicator is bullish on the daily time frame and still shows scope for further upside.
MACD Indicator
The MACD indicator on the daily time frame has turned bullish, with the MACD signal line and histogram both issuing buy signals.
Conclusion
TRON is starting to appear increasingly bullish across both time horizons, with the cryptocurrency close to performing its next major upside breakout.
The newly created bullish pattern on the four-hour time frame points to an eventual move towards the June 2018 trading high, which would eradicate the presence of any MACD price divergence on the daily time frame.
Check out TRON in our coin guide.
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