CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 77% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Palladium

Special Reports - 25/09/2023

25 September, 2023

The example below uses Contracts For Difference (CFDs). Calculations are only on the price of the specific instrument on the date below and calculations indicate a possible profit or loss. No representation or warranty is given as to the accuracy or completeness of this information, consequently any person acting on it does so entirely at their own risk.

Palladium weekly special report based On 1.00 Lot Calculation:

PALLADIUM USE AND MARKET SHARE:

  • Palladium is mostly used in catalytic converters by the car industry to reduce harmful gas emission, while tightening regulation is forcing auto makers to put more of Palladium into each vehicle, which in turn could keep demand outlook positive. Palladium has also been used in fuel cells to generate power.
  • MARKET SHARE (PRODUCERS): Russia is the largest producer holding 43% of the markets, while South Africa is the second largest with 33.00% of the markets. Canada is third on the list with 9.5% of the global production.
  • MARKET SHARE (CONSUMERS): China is the largest Palladium consumer with 31%, while Europe and North America (USA) hold 20% each. Japan stands at 11%.
  • PALLADIUM MARKETS EXPECTED TO BE IN DEFICIT IN 2023: Russia’s Nornickel, the world’s largest Palladium producer forecast a 200,000-ounce deficit of Palladium in 2023.

CHINA:

  • NEW STIMULUS PACKAGES ON THE WAY FOR Q3 AND Q4 OF 2023: The People's Bank of China (PBOC) said it lowered the rate on 401 billion yuan ($55.25 billion) worth of one-year medium-term lending facility (MLF) loans to some financial institutions by 15 basis points to 2.50% from 2.65% previously. The central bank also injected 204 billion yuan through seven-day reverse repos while cutting borrowing costs by 10 basis points to 1.80% from 1.90% previously.
  • CHINA’S ECONOMY TO PICK UP IN THE SECOND HALF OF 2023. The Chinese economy saw a slower recovery in the second quarter ending first half of the year. The Chinese economy, however is expected to pick strength in Q3 and Q4 of 2023 as GDP growth rate of at least 5.00% is still expected for 2023.
  • CHINA REOPENS ITS ECONOMY (2023): China’s COVID-Zero policy has ended. The Chinese government is no longer ordering lockdowns and quarantines. China’s Vice Premier Liu He said the economy could rise to its pre-COVID growth trends in 2023.
  • CHINA CAR SALES EXPECTED TO RISE IN 2023: Chinese car sales are forecast to increase by 3% in 2023 from 2022, hitting 27.6 million units. Sales only increased 2.1% in 2022 from 2021, according to the China Association of Automobile Manufacturers.

PRICE ACTION:

  • PALLADIUM TRADES 64% BELOW ITS ALL- TIME HIGH OF $3409. Palladium currently trades around $1239, and if a full recovery followed to its recent all-time high, this could be an upside of around 177%. However, it could also decline further.
  • ANALYST OPINION: Commerzbank expects a price of $1,600 in 2023 (which is providing potential of around 30% from current price), and $1,700 in 2024.

TECHICAL REVIEW:

  • STRONG SUPPORT AREA AT $1200: The level of 1200, especially, has played the role of strong support recently, not allowing the price, technically, to stay in the area below $1200. The chart below depicts the moment.
  • BREAKING: PALLADIUM HAS TESTED ITS LOWEST PRICE SINCE DECEMBER 2018 ($1,177.75).

GRAPH (Weekly): Palladium

Please note that past performance does not guarantee future results.

PALLADIUM, September 25, 2023
Current Price:1239

PALLADIUM

Weekly

Trend direction

UP

Resistance 3

1600

Resistance 2

1450

Resistance 1

1295

Support 1

1185

Support 2

1140

Support 3

1100

Example of calculation base on weekly trend direction for 1.00 Lot1

Pivot Points

Resistance 3

Resistance 2

Resistance 1

Support 1

Support 2

Support 3

Profit or loss in $

36,100.00

21,100.00

5,600.00

-5,400.00

-9,900.00

-13,900.00

Profit or loss in €2

33,942.29

19,838.84

5,265.29

-5,077.24

-9,308.27

-13,069.19

Profit or loss in £2

29,502.62

17,243.92

4,576.58

-4,413.13

-8,090.75

-11,359.74

Profit or loss in C$2

48,646.19

28,433.09

7,546.22

-7,276.72

-13,340.65

-18,730.81

1. 1.00 lot is equivalent of 100 units
2. Calculations for exchange rate used as of 09:30 (GMT+1) 25/09/2023
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Senior Account ManagerClient Manager regarding their use.

  • You may wish to consider closing your position in profit, even if it is lower than suggested one.
  • Trailing stop technique can protect the profit – Ask your Senior Account ManagerClient Manager for more details.
Share It With Your Network
PALLADIUM Chart
Update Time: -
Highest
Lowest
1M 5M H D W
Prices are loading..
Ready for trading?Start Now