Palladium Price Analysis: Three-month-old support defends XPD/USD bulls above $2,400
17.03.2022, 06:19

Palladium Price Analysis: Three-month-old support defends XPD/USD bulls above $2,400

  • Palladium prices retreat from intraday high, stay above the key support line.
  • Bearish MACD hints at further downside, 200-DMA also challenges sellers.
  • Fortnight-old horizontal area restricts short-term recovery moves, 50% Fibonacci retracement guards immediate upside.

Palladium (XPD/USD) prices remain sidelined around $2,425, up 0.90% intraday heading into Thursday’s European session.

The precious metal dropped to the lowest levels in a month on Monday but an upward sloping trend line from mid-December 2021 restricts the quote’s downside afterward.

However, bearish MACD signals and the bullion’s ability to cross the 50% Fibonacci retracement (Fibo.) of December-March upside, around $2,480, keeps XPD/USD sellers hopeful.

Even if palladium buyers manage to cross the $2,480 immediate hurdle, a fortnight-long horizontal region surrounding $2,740 will act as the last defense for the bears before highlighting the monthly peak of $3,411 on the chart.

Meanwhile, a daily closing below the stated support line, around $2,410 by the press time, will need validation from the $2,400 round figure to convince XPD/USD sellers.

Following that, the metal’s downward trajectory towards the 61.8% Fibo. and the 200-DMA, respectively near $2,260 and $2,160, can’t be ruled out.

Palladium: Daily chart

Trend: Further weakness expected

 

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