While Gold had been rising, Platinum has been on a decline recently. It did make a multi-year high on 16 Feb but fell back right away. Recently it has been consolidating within a channel and on Thu last week , it broke out impulsively below it. Friday’s price action was choppy (check out H4 chart) and I see it like a pullback to the channel bottom. I anticipate a...
XPTUSD (PLATNIUM) Possible Head and Shoulders Reversal Pattern
Long Period Of Consolidation
Wait for a break of this current consolidation and enter at the Head which is at 910.00 or wait for the confirmation of the Right Shoulder
Patience , let's see what price does
There is a chance we could see Descending Channel breaking for XPT/USD in near future. We have put pending orders just below strong Support line.
Let us know what you think and don't forget to follow us for more ideas :)
Good luck !
After our successful plan last time and hit even more than we anticipated. So what now? Our short term plan is to have a small correction as low as 915. Then we go up again for the midterm. As Platinum is quite volatile, short term against the main trend is very risky so we refrain from entering it.
With low leverage, it can be tried like this:
Commercial producers in Platinum have been heavy sellers in the NYMEX contract lately. This action typically bodes poorly for Platinum prices shortly thereafter. Once the commercials get down to -50k contracts, this can be a good signal to short. Using this weeks "Eskom Power Shortage" news to open a new short position on the NYMEX PL contract.
In times passed,...
I will be selling the XPT/ZAR if prices breach below the R11 550 price. Currently, prices are moving in a downtrend, g=forming a series of lower highs and lower lows and bear flags. If we see the corrective structure being breached to the downside, we will get our confirmation for a short trade.
Number of factors set to influence Platinum for the month of March:
- Double Top Resistance at $880
- RSI tag of +70 on the daily chart, momentum exhaustion
- Seasonal Bearishness starts end-Feb/early-March and completes until end-March/early-April
- Expiration of NYMEX April Futures Contracts, expected producer selling up until first notice day
- TVC:DXY strength warrants OANDA:XPTUSD bearish view
- Trend is negative
- Diminished price-volume support below 884
- Looking to short on confirmed support break(blue line on intraday chart
- Alternative thesis on TVC:DXY weakness, might see a jump off support and retrace to 906. Will look to long at that level.
XPT/USD is currently in a bearish free falling trend.
No retaliation has yet been met. We can expect it to continue further below until a strong support and consolidation is undergoing which would mark it's reversal point.
Risk management is an important pillar of trading succesfully.
Wish you all the best!