Platinum today saw a bit of a drop but it looks like it it is being held up at the 939 support zone.
A close below this level could see the price falling to the next support area at 900 – 893.
A close below the 900 levels which is the low of this years trading range and we could see the price back at the 52 week low at 819.
Failure to break the 939 support area and we could see a continuation of the bullish momentum of the previous days and we could see the price targeting the 980 area and 1000 in extension.
I personally would wait for a clear breach of the major support levels to define a direction. If 939 is breached I would wait for the price to reach the 900 levels before taking a long position for the short term.
Technically the commodity is not looking good for the long term, and should the 50 Day MA remain below the 200 Day MA we could be seeing further downside.
Algotrading.co.za has launched its online store.
All the stock screeners we use are now for sale. Click here to purchase now!
*All information in this article is the author’s opinion and is for educational purposes only. It does not constitute investment advice or a solicitation to buy or sell any financial instrument. Trading may expose you to risk of loss greater than your deposits and is only suitable for experienced investors who have sufficient financial means to bear such risk.