An analysis for TRON on request by one of my followers following main net launch on May 31st.
We broke the (black) downtrend on 20th March and had a nice upward movement afterwards. Subsequently the (red) uptrend was broken and we bounced on major (blue) horizontal support which gave us a higher low and a new (blue) uptrend.
Don't chase the market, know what you want to see, wait and let the market come to you.
So what do I want to see before opening a trade?
We have take into account these possible situations:
1) We go straight up to (red) resistance and 0.382 Fib (light green) --> no position taken (red arrows)
2) 12H candle closes under 0.236 Fib (red) and we break the (blue) trend line --> no position taken (red arrows)
3) 12H candle closes under 0.236 Fib and we retest the (blue) trend line. In that case we look for a reversal candle that indicates a bounce on the trend line and the continuation of the upward movement --> Long position taken (green arrows) with stop loss under blue trend line and 0.236/0.382/0.5 Fibs as Profit
Now we do the 'fun' part, we wait.
Comment
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12H candle closed under 0.236 Fib, on our way to retest trend line.