Palladium Price Analysis: XPD/USD retreats from two-month top but not out of the woods
- Palladium bulls take a breather around the highest levels in nine weeks.
- Sustained trading beyond 100-DMA, bullish MACD signals favor buyers.
- Further upside eyes horizontal area from October, short-term sellers aim for December’s top.
Palladium (XPD/USD) pauses a four-day uptrend around $2,135, down 0.30% intraday heading into Tuesday’s European session.
In doing so, the precious metal eases from a multi-day high, flashed the previous day, but stays on the bull’s radar.
Bullish bias over the metal remains intact despite the latest pullback as the quote stays beyond the 100-DMA level of $1,936, as well as December’s high near $1,998. Also supporting the trend are the bullish MACD signals.
That said, the latest weakness may aim for a 38.2% Fibonacci retracement level of the May-December 2021 downside, near $2,115.
On the contrary, further XPD/USD advances will be challenged by a three-month-long horizontal area of around $2,180.
During the quote’s run-up beyond $2,180, the 200-DMA and a descending trend line from May, respectively around $2,215 and $2,345, will be crucial to watch.
Palladium: Daily chart
Trend: Bullish
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.
