Platinum Price Analysis: XPT/USD’s further downside hinges on 21-DMA breakdown
- Platinum struggles to overcome the biggest daily losses in a month.
- Steady RSI, sustained trading below key SMAs keep sellers hopeful.
Platinum (XPT/USD) holds lower grounds near $960 heading into Tuesday’s European session.
The precious metal dropped the most in a month the previous day amid failures to the 50-DMA. Also keeping the XPT/USD bears was the steady RSI line and successful trading below the 100-DMA.
That said, the 21-DMA level near $954 precedes 23.6% Fibonacci retracement of November-December downside, around $947, to restrict short-term declines of the metal.
During the commodity’s weakness past $947, $926 and the yearly low of $898 will be crucial to watch.
On the contrary, recovery moves may initially aim for the 50-DMA level surrounding $980, a break of which will direct XPT/USD bulls towards the 100-DMA, around $992 by the press time.
In a case where platinum prices rally past $992, 50% and 61.8% Fibo. levels, respectively around $1001 and $1,026, will lure the commodity buyers.
Platinum: Daily chart
Trend: Further weakness 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.
