Palladium Price Analysis: XPD/USD pulls back from key resistance around $2,800 post-FOMC
|- Palladium prices remain pressured after reversing from seven-day top.
- Confluence of 21-day SMA, six-week-old resistance line guards nearby upside.
- 50-day SMA adds to the resistances, sellers aim for two-month-long support.
Palladium (XPD/USD) bounces off intraday low, down 1.0% around $2,772, heading into Thursday’s European session. The precious metal rallied to June 08 top the previous day but failed to cross neither 50-day SMA nor a convergence of 21-day SMA and descending trend line from May 04.
Read: Federal Reserve ups the ante on inflation, growth and interest rates
The recent pullback joins the bearish MACD signals to keep sellers hopeful. However, a horizontal line, forming part of a two-month-old descending triangle bullish pattern, tests the Palladium bears around $2,725.
Also acting as the downside filter is the $2,700 threshold surrounding multiple tops marked during late March and early April.
Meanwhile, a daily closing beyond $2,805 resistance confluence needs to cross the 50-day SMA level of $2,840 to recall the XPD/USD buyers.
Following that, the late May high near $2,945 and the $3,000 psychological magnet could lure the bulls ahead of the recent tops, also the record high, close to $3,020.
Palladium daily chart
Trend: Further weakness expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.