The following information is a guideline (trading plan) and should not be treated as financial advice. Not advice but banter and active in sharing trade ideas via twitter @sugardaddyFED. You can also follow us via TradingView.com for the latest charts update.
End of the month book squaring took the metal higher to 1178 but price then drive lower
Greece ready to re-negotiate meant no need for safe haven plus the EUR/USD is under pressure from a strong dollar
Pre NFP often have gold bulls running to the hills but
Sellers could continue to drive market lower but the longer it takes then a potential short squeeze is due
A retest at 1150 – 1160 cannot be rule out here but look to swing long with tight stop
Upside remain capped and only a break above 1200 will help alleviate the selling pressure
The gartley pattern could still work with a target of 1240
As long as price managed to find support above 15.40 then it could have a corrective rally
We have a daily cross below the lower Bollinger band and more often than not, we see a small reversal
Break below and we will only have support at 14.50 levels
Short term expectation is for further weakness but if sellers fail to push lower then expect a squeeze
Lower time frame could potentially create a bear flag but price action has traded out of the downtrend channel. A double bottom support is the short term line in the sand and only a close below will allow the bears to take prices lower. We continue to monitor weekly chart on Platinum as well as there is a hint of a potential reversal (albeit a corrective rally).
The short term low at 663.70 is holding on and the bounce could mark a corrective rally. Mind you, the weekly RSI is oversold and it is attempting to rise a tad higher. Despite that, we will remain cautious on the outlook on Palladium and this pullback could be another opportunity to short.