Palladium Price Analysis: XPD/USD looks set for more gains above $2,600
|- Palladium prices extend previous day’s bounce off one-month low.
- Sustained U-turn from 200-day EMA, 50% Fibonacci retracement breakout favor bulls.
- Key Fibonacci retracement levels, June low also challenge bulls.
Palladium (XPD/USD) stays bid around $2,615, up 0.32% intraday, as European traders brace for Wednesday’s bell.
The precious metal bounced off 200-day EMA the previous day to snap a five-day downtrend. The following recovery moves cross 50% Fibonacci retracement of January-May upside to keep the buyers hopeful.
That said, the current up-moves aim for 38.2% Fibonacci retracement surrounding the $2,700 threshold. Though, May’s low near $2,730 and March’s top near $2,760 could challenge the XPD/USD bulls afterward.
Meanwhile, a daily closing below the 200-day EMA level of $2,565 will recall Palladium sellers targeting 61.8% Fibonacci retracement and June’s bottom, respectively around $2,508 and $2,460.
Also acting as the downside filter is the early January tops near $2,530.
Palladium: Daily chart
Trend: Further recovery expected
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