Platinum is on the rise following a robust recovery from declining lows, with the price regaining important resistance areas.
The tide is turning against sellers as the metal continues to stabilize at a level that would break out.
XPT/USD Surges Above $2,350 After Sharp Intraday Reversal
XPT/USD is trading at above the price of $2,369.25 and has picked up by a spread of $90.30, or 3.96%, on the session. The intraday composition indicates strong bullish momentum after the previous weakness, as the price has strongly recovered after falling below the level of -$2,250.
The rally triggered an escape above the $2,350 level, as per the Investing.com chart, which was the limit to short-term upward efforts. Price has gone as far as to reach the area of potential profit-taking of around $2,400, though it still remains above previous resistance. This process indicates that buyers are protecting the breakout zone and trying to achieve a bigger range of consolidation.
Structurally, platinum will be constructive up to the point of between $2,320 and $2,350 and above. A long-term trend above $2,400 would probably reinforce short-term bullish continuation processes, whereas the inability to hold the support would initiate a retest of the breakout area. To date, the recovery is an indication of fresh upside participation and not exhaustion.
Trading Economics Shows Platinum at $2,373.50 Per Troy Ounce
According to Trading Economics data, platinum is trading close to $2,373.50 per troy ounce, a 5.98% strong daily gain. The long-term graph shows the strong upward trend of the last year, when the price increased from below the level of $1,000 per troy ounce and almost reached the level of near $2,800 per troy ounce.
According to the TradingEconomics chart, there is a prolonged bullish drive of tightening supply forces and precious metal strength at large. But the chart shows increased volatility following the skyrocket up to the $2,700–$2,800 area as well. After that spike, the platinum fixed in the range of $2,000–$2,100, but then it did not improve.
The recent turnaround to the level of $2370 shows that buyers are trying to retake over, but the price is still lower than it used to be. Medium-term structure remains positive as it is positioned above the support band with the help of the levels of $2,100-$2,200. An extended move beyond the range of $2,500 would probably trigger another challenge of the highs of $2,800, whereas the inability to proceed would probably prolong consolidation below the resistance lines.
Technical Indicators Turn Constructive as Recovery Develops
On the other hand, Platinum (XPTUSD) is trading on TradingView at approximately $2,360, with an increase of about +3.61% per day. The daily chart indicates an increase in the lows since the severe sell-off in February, which briefly propelled the price to the $2,000–$2,100 area.
The TradingView indicators of momentum are now starting to follow the recovery story. The MACD (12, 26, 9) has reverted to the uphill trend, and the histogram has moved into the realms of the positive, and a new bullish crossing of the signal line is forming. Such a setup is frequently an indication of reinforcing short-term momentum after a corrective period.
Chaikin Money Flow (CMF 20) is slightly positive at around 0.10, which indicates weak capital inflows and strengthening buying pressure. Although accumulation is not aggressive yet, the positive reading is an indication that distribution pressure has reduced.
Platinum is technically capped under the big resistance level between $2,450 and $2,500. A strong daily close above this band would open the door to a retest of the $2,700-$2,800 highs. Until this time, the price can further consolidate in the range of $2,100 to $2,400, and the bulls will seek to gain momentum below the overhead resistance.
Source: https://bravenewcoin.com/insights/platinum-xpt-price-prediction-bulls-defend-2350-as-momentum-builds-toward-2500
