Palladium (XPD/USD) prices remain sidelined around $2,425, up 0.90% intraday heading into Thursday’s European session.
The precious metal dropped to the lowest levels in a month on Monday but an upward sloping trend line from mid-December 2021 restricts the quote’s downside afterward.
However, bearish MACD signals and the bullion’s ability to cross the 50% Fibonacci retracement (Fibo.) of December-March upside, around $2,480, keeps XPD/USD sellers hopeful.
Even if palladium buyers manage to cross the $2,480 immediate hurdle, a fortnight-long horizontal region surrounding $2,740 will act as the last defense for the bears before highlighting the monthly peak of $3,411 on the chart.
Meanwhile, a daily closing below the stated support line, around $2,410 by the press time, will need validation from the $2,400 round figure to convince XPD/USD sellers.
Following that, the metal’s downward trajectory towards the 61.8% Fibo. and the 200-DMA, respectively near $2,260 and $2,160, can’t be ruled out.
Trend: Further weakness expected
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