Hello great minds,
I trust you are all doing perfectly fine and are enjoying activities in the community.
It is a great day and I feel overjoyed to come before you all in this great community today, to share my analysis on trxusdt.
I will be doing a breakdown of topdown analysis of trxusdt beginning from the monthly timeframe, down to the hourly timeframe.
And I will be making use of support and resistance strategy for my analysis, alongside the rsi indicator for trading confluence..
Like I use to tell, my analysis starts from the higher timeframe, down to the lower timeframe.
From the higher timeframe, I search for the overall market trend as this will influence my trading decisions on the lower timeframe.
On the lower timeframe, I search for entries into the market, entries are very important if you are to apply risk management in trading..
Begining my analysis from the monthly timeframe as usual, I can see how neat the price chart is.
There are no noise in the market as every candle on this timeframe is a valid one.
Also, I was able to detect the trend of the market, and from the screenshot above, I wouldn't say the market is on a bearish trend.
We can see that the current market price has broken a new level in the market, and as such we can say that the pair trxusdt is bullish overall.
I then continued my analysis by moving to the weekly timeframe and on this timeframe, I could see the market more clearly, I could see the formation of more candles as each here is being formed within the trading period of 7days.
And looking at the market more clearly, I was able to spot another key level and this level is functioning as a support level to the price chart, and the market is expected to be rejected whenever it trades towards this level.
And from the screenshot above, we can see that this level is a valid level as it has been severally tested and respected by the market.
I then continued my analysis by moving to the daily timeframe and on this timeframe, I could see the market more clearly.
I could see the formation of bearish and bullish candles in the market which indicates the presence of the buyers and sellers in the market.
And then I was able to identify another key level, and this level is functioning as a resistance level to the price chart, and the market is expected to be rejected whenever it trades towards this level.
And moving to the 4hr timeframe, I could see the market very clearly, I could see the struggle between the buyers and sellers as they strive to drive the market to their preferred direction.
And from the above screenshot, we can see that the market is being bullish, that is, the market is being controlled by the buyers, as it kept forming higher highs and higher lows.
And looking carefully, I can see the market trading towards its resistance level, and when it gets to this level, I can expect to see bearish rejection.
And moving to the 2hr timeframe, I could see the market more clearly, and I could see the market breaking structures which confirms the bullish move of the market.
And then I was able to identify a bullish order block, and when the market retrace to mitigate this order block, we can expect to see a bullish move.
And with my bullish bias of the market, I decided to search for confluence using the relative strength index indicator.
The rsi indicator is a very important technical tool that is used in analysing the cryptomarket.
This Indicator is used to detect overbought and oversold market regions and this inturn influences my trading decisions.
When the market is overbought, it is a bearish trend reversal signal and when the market is oversold, it is a bullish trend reversal signal.
I then decided to apply this Indicator to the monthly timeframe first, before other timeframes.
Applying the rsi to the monthly timeframe, I could see that the market is being overbought, and an overbought market can be detected when the rsi crosses above its 80% line.
And an overbought market is understood to be a market condition that signals the weakness of the bulls in the market and the strength of the bears.
In other words, it is known to signal a bearish trend reversal of the market.
And applying the rsi to the daily timeframe, I could see that the rsi has crossed below its 20% line and this is an indication that the market is being oversold.
And an oversold market is one that signals a bulllish trend reversal of the market, it shows the weakness of the sellers and the strength of the buyers in the market.
I then continued my analysis by moving to the 2hr timeframe with my bullish bias, and looking at the market, I could see that the rsi indicator has crossed below its 20% line.
And then I decided to place my entry on the bullish order block in the market, and my take profit was placed on the closest resistance level to the price chart.
I have shared my personal analysis of trxusdt, and from my analysis, I expect to see a momentarily retracement to the upside then a bearish move.
This post of mine was not created as a financial advise but for educational purpose.