Technical price analysis of TRON (TXR) Friday, May 18, 2018

Tron is still stuck in consolidation, since he formed a symmetrical triangle on his 1 hour chart. The price is currently testing the triangle support and could be due to a rebound to the resistance at 0.07000.

However, the SMA 100 is below the SMA of 200 in the longer term to indicate that the path of least resistance is to the downside. In other words, the support is more likely to break than hold. The pattern of the chart ranges from 0.06000 to 0.08000, so the resulting settlement could be of the same height.

However, RSI is improving, so Tron could do the same while buyers will regain control. Similarly, the stochastic is moving up to indicate that bullish pressure is at play. One can also observe a bullish divergence for this oscillator, since the price made higher lows, while the stochastic had lower lows.

The consolidation in Tron can be explained by exchanges of frozen holdings until the launch of the mainnet at the end of this month. Investors may also be cautious and wait to see how the upgrade comes out. Any technical error could mean an interruption to the downside for Tron, while a successful launch could spur another rally.

Meanwhile, the dollar has been safe for most of the week, despite retail purchases in April. Traders point to stronger price levels as a factor that supports adjustment expectations for next month, so you can see the positioning ahead of the actual event.

Apart from that, the ever-present geopolitical tensions in trade negotiations are also supporting the safe haven, even when any conflict with China may have ramifications for its economy. Looking ahead, the consolidation of Tron could continue for the next two weeks until after the launch of the mainnet.