Palladium Price Analysis: XPD/USD extends pullback from June’s low towards 10-DMA

Palladium drops for second consecutive day, holds lower ground of late.
Downbeat Momentum line fails to entertain bears, 200-DMA, six-week-old resistance line add to the upside filters.

Anil Panchal FXStreet

Palladium (XPD/USD) remains on the back foot around $2,425, down 0.45% intraday ahead of Thursday’s European session.

The precious metal took a U-turn from June’s low the previous day, extending the losses so far during Thursday, amid a downbeat Momentum line.

Hence, the quote’s fall to the 10-DMA surrounding $2,400 becomes imminent. However, any further declines will be challenged by the $2,300 round figure and monthly low of $2,263.

Meanwhile, a daily closing past $2,461, comprising June’s bottom, enables the XPD/USD buyers to aim for a 38.2% Fibonacci retracement level of May-August fall, around $2,550.

It should be noted, however, that a confluence of 200-DMA and a descending trend line from July 12, around $2,575-80, becomes a tough nut to crack for the palladium buyers afterward.

Overall, XPD/USD remains pressured but cautions market sentiment and downbeat Momentum challenges the bears of late.

Palladium: Daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	2426.29
Today Daily Change	-10.83
Today Daily Change %	-0.44%
Today daily open	2437.12

Trends
Daily SMA20	2524.66
Daily SMA50	2639.12
Daily SMA100	2729.44
Daily SMA200	2577.56

Levels
Previous Daily High	2471.73
Previous Daily Low	2421.12
Previous Weekly High	2637.74
Previous Weekly Low	2262.27
Previous Monthly High	2882.78
Previous Monthly Low	2571.07
Daily Fibonacci 38.2%	2440.45
Daily Fibonacci 61.8%	2452.4
Daily Pivot Point S1	2414.92
Daily Pivot Point S2	2392.71
Daily Pivot Point S3	2364.31
Daily Pivot Point R1	2465.53
Daily Pivot Point R2	2493.93
Daily Pivot Point R3	2516.14

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

AUD/USD bulls regain control above 0.6950 amid USD retreat

AUD/USD regains traction and extends the previous day's bounce from the weekly low, aiming for 0.7000 in Asia on Friday. The overnight pullback in US bond yields keeps the US Dollar below an 18-month high, which in turn offers some support to the pair. Meanwhile, hawkish RBA expectations also keep the major underpinned.

USD/JPY holds gains near 158.00 after Japan's weak Household Spending data

USD/JPY clings to gains around 158.00 after data showed on Friday that Japan's Household Spending fell for the ninth straight month, undermining the Japanese Yen. Meanwhile, the US Dollar remains depressed as the overnight fall in US bond yields counters a hawkish Fed and geopolitical uncertainties, could cap any downside in the pair.

Gold remains range-bound below $4,200

Gold has given up some ground after an initial bullish attempt to reach weekly highs, returning to below the $4,200 mark per troy ounce on Friday. The US Dollar’s strong upside momentum, combined with rising US Treasury yields across the curve, seems to keep further gains in the yellow metal under scrutiny.

Has Bitcoin really escaped the macro forces it was built to fight?

Over 17 years ago, Satoshi Nakamoto designed Bitcoin (BTC) on the back of a global financial crisis as an alternative to the global monetary system outside the control of central banks, governments and traditional intermediaries. This raises a key question: has Bitcoin really become independent of the macroeconomic forces it was built to challenge?

The Euro is not the sick man of Europe. France's bond market is

EUR/USD remains under pressure, near the 17-month low of 1.1161 reached on Monday. The pair has lost more than 7% since its yearly peak, as concerns over France's public finances increasingly weigh on the single currency. But behind the weakness of the Euro (EUR), the problem does not necessarily lie with the European economy as a whole.