XPDUSD trade ideas
XPDUSD long entry point.XPDUSD long entry point. In my analysis, I indicated that Palladium is making a correction. The analysis closely followed the movement of the exchange rate. My assumption is that the correction is slowly over. Therefore, the palladium may turn north again from this level.
PALLADIUM maintaining bullish momentumPalladium has produced a bearish divergence, followed by a possible bullish divergence, yellow fib EMA has been a clear support for some time for this bull run, lets see if it holds again. Currently stuck in between a strong horizontal support.
Palladium Resting At The 50 Simple Moving AveragePalladium has seen a strong rise since August 2019 with nice trends ranging from 18% to 38%
following periods of pullbacks. This has been an overall growth of 106% over a period of 7 months.
As with every trend, there will be pullbacks along the way and we are experiencing another
one at the moment. When price pulls back, we always want to look for areas of support that price
may come towards.
Price usually bounces off areas of support but if support levels are broken it may indicate further
weakness to come.
Price has pulled back to the 50sma which is currently holding and helping to keep price up.
The last time price hit the 50sma was in November 2019 and we saw a strong trend that followed.
If price can do the same going forward then we need to see momentum to the upside which can
push price above the $2,500 round number.
Followed by that we need price to break and close above the current high at $2,875 and the
$3,000 round number. If these levels are broken then we should continue to see Palladium
soar to even greater heights.
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
XPDUSD (Palladium) before correction.XPDUSD (Palladium) before correction. In my analysis, the Palladium correction movement has begun. You can see that there are two types of analysis on the chart. 1. Fractal analysis, a 2: 1 fractal copy is starting to build up. 2. ATR-based analysis shows that palladium may turn south again at D1ATR50%. The target price is 2257.22usd
XPDUSDCurrently at supply level, expecting a pullback then enter short once lower swing high is confirmed
Next target 1800Flat correction seems to be close to completion. 200h moving average seems working well as support and will now as resistance.
Palladium Rescued At $2,500!Palladium is proving to be resilient as it is finding strength after a sharp decline last week.
The $2,500 round number has come to the rescue for the buyers and it is acting as a strong
level of support for price.
In January 2020, this round number was acting as resistance and forced price to pull back
and now that resistance level has turned to support.
The fear of the coronavirus spreading caused wide speculation in the markets last week
and Palladium fell by over 350 points.
Now that price has found support at $2,500 we are starting to see strength back in this commodity
and we just need more momentum to see price push its way above the current all-time high.
A break and close above the current all-time high at $2,875, formed on the 27th February 2020,
will confirm a continuation of the uptrend.
Bear in mind that we have the $3,000 psychological round number not too far above that high.
This may cause further resistance for price if it can reach these heights.
Our multiple positions are currently still in profit and we are looking to compound once
we see another breakout.
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
"The Tesla of commodities" - And it's not gold, iron ore or platThank you China – and no… not for the Coronavirus
I’m talking about Palladium…
The main reason why Palladium is flying and will continue to do so, is all thanks to regulations taking place in China.
We are seeing major industrial demand driven by the expectations that there'll be stricter environmental regulations and standards in China.
In fact, they expect production to trail by 1.9 million ounces of palladium this year. That’s an insane 800,000 ounces more than last year.
For you to understand why there is an increase in demand for palladium, we need to look at what the main industrial use for this precious metal is.
Did you know, two-thirds, or 67%, of all palladium is consumed each and every year from the manufacturing of automobile catalytic converters.
What’s important to note is that the palladium - used in the catalytic converter - helps control the harmful emissions and pollution from fuel-powered vehicle car exhausts…
And now, with Chinese and European vehicles needing to meet the (China 6 and Euro 6d) legislation we can expect a rise in the global average loadings on gasoline-catalysts.
This increase in demand, will send the palladium price even higher.
Vivek Dhar, an analyst at Commonwealth Bank of Australia summed it up nicely:
"Demand is being driven by environmental regulations, particularly in China, which has increased palladium use in vehicles and should offset any recent weakness in car sales"
Right, so we know the big reason why Palladium should continue rallying, but wait until you see this chart…
This half-crescent pattern will take Palladium to the moon
Looking at the above daily Palladium chart, you can see it’s been moving in a strong uptrend from a low price of $1,460 up to the previous high at $2,530.
During this time, it has formed a strong upward (buying) momentum pattern which I call the “Half Crescent” formation (shaded grey).
This is when the price moves up at a steep and round angle, which creates a formation that looks like the crescent shape similar to the moon.
And now that the price has broken out and above the six-month ceiling level (pink line), tells me that palladium is going to continue to sky rocket.
To calculate the next target of Palladium we'll basically use my breakout High-Low calculation…
This is a target calculation where I take the price difference between the most recent high ($2,530) and the most recent low ($1,460 and I add it to the most recent high price.
Price Target =
= (High - Low) + High
= ($2,530 - $1,460) + $2,530
= $3,600
This means, we will be able to take full advantage of the palladium price rise while it rallies another $1.070…
It is going to be a lot of fun to ride Palladium downBlow-off top pattern, divergence on RSI and MACD all this screams "sell me big" :-)
I am expecting it to fall 50% down very quickly. None needs it at the current price while consumption is going to shrink world-wide.
XPDUSD correction follows.XPDUSD correction follows. Continue analysis. In my opinion, the analysis remains the same. The fractal structure is retained. I updated because a wave sequence rule set was starting to build up. And this is nothing more than a wave shift. The movement of the stock accumulation (sideways) wave shifted upwards. The point of the rule set is that the width of the range remains. Therefore, the lower part of the accumulation bin moves up to 2343usd. The range width may justify starting a short position.
Palladium big shortTell me how Palladium price is going down for the next few months :) The big short. If it goes above the channel, then ok the scam continues
