Platinum (XPT) Stays Subdued Below Key Levels

Platinum has remained below important technical levels due to prevailing headwinds. These headwinds stem from a considerable increase in the metal’s inventory figures. This has created a significant challenge, deflecting the market from progressing toward the $1,000 mark.

Key Price Levels:

Resistance Levels: $975, $1,000, $1,025

Support Levels: $950, $925, $900

XPTUSD Retains Support Above the 20- and 50-Day MA

Although platinum price action has experienced a trend reversal, it remains above important technical indicators. This supports the view that price action still has upside potential. As seen on the daily price chart, the latest price candle has rebounded downward from the 100-day Moving Average (MA) curve. However, this same price candle remains above the crossover of the 20- and 50-day MA curves.

Meanwhile, the Stochastic Relative Strength Index (RSI) lines are slightly descending into the oversold region. Nevertheless, the appearance of the latest price candle on the chart suggests that price activity may continue to hold above the aforementioned MA curves.

XPTUSD Stays Resilient Above Key Levels

Even on the Platinum 4-hour chart, price action continues to trend downward. The latest price candle appears as a dash and is currently testing the 200-day MA line as support. Similarly, the Stochastic RSI lines are sharply descending after a recent crossover.

However, the movement of the leading RSI line seems somewhat exaggerated, suggesting that downward momentum may be easing. Nevertheless, traders should anticipate that the law of supply and demand will influence market dynamics. Given that current inventory levels exceed previous figures, traders can expect an upward rebound from the $960 or $950 price levels.

Do you want to take your trading to the next level? Join the best platform for that here.