Palladium: Bear market rally continues
The daily
PALLADIUM
chart shows some interesting technical developments.
On September 8, the price action saw a 4.5% daily gain, which broke both the 50-day and 200-day moving averages. Previously, the same breakouts also occurred on July 7 and 8, but in two separate sessions.
With the September 6 lows, a short-term bullish channel may have formed, supporting the palladium bear market rally thesis.
The area between $2,190 and 2,193 is where buyers are now encountering some sellers’ resistance.
If this hurdle is broken, the next one is situated at $2,233 (15 August high), and after that $2,300 (11 August high).
The MACD exhibited a bullish crossover at the zero line. On July 22, the same signal occurred, which then served as a driving force behind the rally to mid-August highs.
Palladium is 37% lower than its March peak, indicating that the major trend remains bearish. To revert this trend, palladium prices must rise decisively above $2,612 (50% Fibonacci retracement of 2022 low-high).
Idea written by Piero Cingari, forex and commodity analyst at Capital.com
PALLADIUM
chart shows some interesting technical developments. On September 8, the price action saw a 4.5% daily gain, which broke both the 50-day and 200-day moving averages. Previously, the same breakouts also occurred on July 7 and 8, but in two separate sessions.
With the September 6 lows, a short-term bullish channel may have formed, supporting the palladium bear market rally thesis.
The area between $2,190 and 2,193 is where buyers are now encountering some sellers’ resistance.
If this hurdle is broken, the next one is situated at $2,233 (15 August high), and after that $2,300 (11 August high).
The MACD exhibited a bullish crossover at the zero line. On July 22, the same signal occurred, which then served as a driving force behind the rally to mid-August highs.
Palladium is 37% lower than its March peak, indicating that the major trend remains bearish. To revert this trend, palladium prices must rise decisively above $2,612 (50% Fibonacci retracement of 2022 low-high).
Idea written by Piero Cingari, forex and commodity analyst at Capital.com