Platinum Price Analysis: XPT/USD eyes further downside towards $900
- Platinum extends the previous day’s losses towards refreshing fortnight low.
- Failures to rise past 50-DMA, two-month-old resistance line keep sellers hopeful amid bearish MACD signals.
- Convergence of 200-DMA, 61.8% Fibonacci retracement appears a tough nut to crack for buyers.
Platinum (XPT/USD) remains on the back foot for the second consecutive day as bears keep reins near a two-week low surrounding $930 heading into Thursday’s European session.
In doing so, the XPT/USD justifies the previous day’s U-turn from the 50-DMA, around $970 at the latest, as well as bearish MACD signals.
Also supporting the bearish bias is the commodity’s failure to rise past the two-month-old descending trend line, close to $996.
Above all, the quote’s sustained trading below the 200-DMA and 61.8% Fibonacci retracement of December 2021 to March 2022 upside, near $1004-06.00, keeps the favoring the sellers.
On the downside, April’s low around $908.00 appears immediate support to watch during the further XPT/USD declines.
However, a broad area comprising multiple levels marked since September 2021, around $907-896, will be crucial to watch during metal’s further downside.
Overall, platinum prices remain vulnerable to decline further but the downside remains limited.
Platinum: Daily chart
Trend: Further downside expected
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.
