TRXUSDTPREP Sell short | S6T2 - Team Trading Post for Team Frontline

Hello everyone, this is my final post for this week's trading competition. I'm grateful to be part of Team Frontline headed by Crypto Academy Professor @abdu.navi03 & @shemul21. This week wasn't that fruitful, but we go again next week with more knowledge and experience.

The token I chose was TRX. As usual, let's go!

As a member of Steemit Crypto Academy, it is impossible to lack knowledge about the Tron Blockchain. The main reason is that TRX forms part of the rewards earned on Steemit. Tron is one of the very popular blockchains known by many traders. It is a suitable blockchain for building DApps.

Transactions are fast. Its blockchain can handle 2,000 transactions per second. It is scalable and also cost-efficient for developers. Developers can reduce cost with smart contracts by staking their TRX for bandwidth and energy which would be used for transactions instead of their TRX.

Tron was founded by Justin Sun in September 2017. Its mainnet was launched in May 2018. After, it had an acquisition of BitTorrent in July 2018. This is marked as its biggest acquisition. Because of its extremely low fee charges, it has the highest circulating supply of stable coins.

Tron uses the delegated proof-of-stake consensus mechanism. As stated earlier, developers can reduce costs with smart contracts by staking their TRX. Staking your TRX gives you votes which you can use to vote representatives to earn rewards.

TRX is the native token of the Tron blockchain. It is ranked #25 in the list of cryptocurrencies. It has a market cap of $6,149,787,650 and a circulating supply of 101.73B TRX.

TRX has an all-time high of $0.3004. This was recorded 4 years ago. Currently, it has dropped 79.89% from its ATH. Its lowest recorded within the past month is $0.0559. This is close to its lowest within 3 months which is $0.05137.

Tron can be found in many exchanges with different asset pairs. You can find Tron listed on exchanges like Binance, KuCoin, Huobi Global, Gate.io, Poloniex etc.

TRX's lowest within a month was recorded a few days ago. This is a sign that it is going to rise until it reaches its resistance level. This was the main reason I was optimistic about it today.

For how long it can rise, this cannot be told. TRX was among the top coins expected to reach 1 USD last year. Unfortunately, many were disappointed. I think there is still hope for it and it'll rise steadily and get to about half a dollar.

The TRX asset I chose to trade was TRXUSDTPREP. This asset can be traded on Binance futures.

I marked the support and resistance levels on the 1-day timeframe.

I switched to the 4 H timeframe, got a clearer view of the price movement and marked the support and resistance levels.

I switched to the 1 H timeframe and used RSI to check the overbought and oversold condition of the asset to determine the kind of position to take. The RSI was above 50 which suggested an overbought condition. The price was expected to fall.

I switched to the 15 Min timeframe to spot an entry and exit point.

I decided to take a short position. The trade details would be provided in the next section.

Binance futures allows you to leverage to make profits with little capital. The risk is greater also and so I put in place a lot of risk management strategies. My plan was to not spend long hours on the trade. Just a few minutes to take what I can and close my position.

My entry was 0.05983, TP was 0.05925 and SL was 0.06037.

After a few minutes, the price hit my entry and the position was triggered. I adjusted the SL for risk management just in case the price retraced in the opposite direction to minimize my losses.

I set a new stop loss at 0.05979. This was to exit with at least 0.3 profits but the trade closed at 0.05882. This was not according to my calculations. The trade ended with 0.03591 profits.

The trade details can be seen from the image above.

Tron is a very good blockchain suitable for DApp developers. Its market cap and rank shows that it interests many. I'd recommend others to purchase TRX.

I'd say think smart money with TRX. Buy and sell when the prices go up a bit, rebuy at a low price, sell, repeat the process. You'd have to do some technical analysis. Identify the strong support and resistance points and use them for your entry and exit.

It is important to note that this isn't financial advice. My thoughts about TRX may be false and you could run at losses if you regard this information as such.

This week wasn't that bad. I'm always grateful I learn new mistakes and get better every time as I get myself used to the behaviour of the market. Below is a summary of this week's trade.