Platinum’s breakneck rally since June looks at risk of reversing, with the last two weekly candles delivering notable topping patterns. A shooting star from above $1,700 was followed by an enormous bearish pin, doubling down on the message. With momentum indicators like RSI (14) and MACD rolling over but still in overbought territory, selling into rallies is preferred near term, especially if we see another push above $1,650 where bears were active in each of the past three weeks.
Downside targets for shorts include the July high of $1,516, with the February 2021 swing high of $1,350 and $1,300 as other options after that. Risk management is extremely important for anyone looking to act on the bearish price signals given how far the price has run over recent months, so make sure stop placements above entry are aligned with your desired risk-reward ratio from the trade.
Good luck!
DS
Downside targets for shorts include the July high of $1,516, with the February 2021 swing high of $1,350 and $1,300 as other options after that. Risk management is extremely important for anyone looking to act on the bearish price signals given how far the price has run over recent months, so make sure stop placements above entry are aligned with your desired risk-reward ratio from the trade.
Good luck!
DS
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.