After a very prolonged stagnation in the channel, $TRX has slowly started to crawl up. And now it shows all the prerequisites for continuing the upward movement - it’s like a climber who has been preparing for the ascent for a long time and has finally started the climb!
How to trade?
You can open a buy trade targeting the next level, and place the stop-loss behind the nearest extremum.
Risk/Reward ratio: the stop will be small and excellent risk/reward ratio, but such a stop will be unreliable.
A more reliable option: setting the stop-loss behind the channel resistance level would be better. But then you will need to wait for a small price correction, as the risk/reward ratio is not very favorable.
Trader's dilemma!!!: quick entry with a risky stop VS patiently waiting for a better entry point - this is our case.
Strategic considerations:
If you're in a hurry, enter with a small stop, but be ready for possible false signals.
If you can wait, wait for a correction to improve the risk/reward ratio.
Conclusion: TRX shows clear technical signals for growth but requires a balanced approach to risk management. Choose your entry strategy based on your trading style!
Not a financial recommendation, just technical analysis and personal experience.