Palladium
August 9, 2024
Risk Disclaimer: The example below is for illustrative purposes only and is based on price movements derived from Contracts for Difference (CFDs). The calculations reflect hypothetical outcomes using historical or specified price data for the relevant instrument on the stated date and are not indicative of future performance. Any reliance placed on this material is strictly at the user’s 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 emissions while tightening regulation is forcing automakers to put more Palladium into each vehicle, which in turn could keep the 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%.
- RUSSIA EXPECTED TO CUT PRODUCTION IN 2024: NORNICKEL, THE LARGEST PALLADIUM PRODUCER IN THE WORLD, TO CUT PRODUCTION IN 2024. The Russian miner said the output of the metal may fall almost 15% to as low as 2.3 million ounces. The company said that its production was down 17% year on year in Q4 of 2023.
EVENTS (CHINA): ECONOMIC DATA (MONTHLY) FOR JULY
- NEWS (AUGUST 9): CHINA INFLATION (CPI) CAME IN HIGHER THAN EXPECTED (0.5% VS. 0.3% exp. PREVIOUS: 0.2%).
- THURSDAY, AUGUST 15 AT 03:00 GMT+1: CHINA INDUSTRIAL PRODUCTION (PREVIOUS: +5.3%)
EVENTS (USA): ECONOMIC DATA
- WEDNESDAY, AUGUST 14 AT 13:30 GMT+1: US INFLATION (CPI) (JYLY). The US inflation continued falling, marking a decline from 3.5% to the current 3.0% since April. If inflation continues falling, this could encourage the US Fed to start cutting its benchmark interest soon, which in return should put the US dollar under negative pressure. In this case, the Palladium price could come under upward pressure.
TECHNICAL ANALYSIS:
- BREAKING: PALLADIUM HAS TESTED ITS LOWEST RATE SINCE JUNE 2017 (810.50).
- PALLADIUM PRICES HAVE TESTED THE MARK OF $900 (OR NEAR) ONLY 7 TIMES IN 2024. This is the 8th time the Palladium prices were fluctuating around the mark of $900 in 2024.
GRAPH (Daily): January 2024 – August 2024
- 2024 STATISTICS: PALLADIUM TENDS TO RECOVER BY AROUND 12% AFTER TESTING LOWS BELOW THE MARK OF $900.
DATA SOURCE: Fortrade MetaTrader 4
Please note that past performance does not guarantee future results
PALLADIUM, August 9, 2024
Current Price: 910
|
PALLADIUM |
Weekly |
|
Trend direction |
|
|
1100 |
|
|
1000 |
|
|
980 |
|
|
840 |
|
|
820 |
|
|
810 |
Example of calculation base on weekly trend direction for 1.00 Lot1
|
Pivot Points |
||||||
|
Profit or loss in $ |
19,000 |
9,000 |
7,000 |
-7,000 |
-9,000 |
-10,000 |
|
Profit or loss in €2 |
17,394 |
8,239 |
6,408 |
-6,408 |
-8,239 |
-9,155 |
|
Profit or loss in £2 |
14,881 |
7,049 |
5,483 |
-5,483 |
-7,049 |
-7,832 |
|
Profit or loss in C$2 |
26,089 |
12,358 |
9,612 |
-9,612 |
-12,358 |
-13,731 |
1. 1.00 lot is equivalent of 100 units
2. Calculations for exchange rate used as of 10:00 (GMT+1) 09/08/2024
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.
