Technical charts analyzed by market analysts display the metal trying to establish a breakout but failing as trading is fading near important resistance levels.
Importantly, the rejection follows a period of recovery, during which palladium is caught up in a larger downward trend. On the daily time frame, traders could be waiting for a better reversal signal or another approach to lower support levels.
Palladium Faces Rejection at Falling Wedge Resistance
This daily chart displays a falling wedge pattern as palladium oscillates between its higher- and lower-time-frame levels, failing to break out even once.
DGDxtrader says the gravestone doji was observed on Monday, following palladium’s arrival at the trendline resistance, as an indicator of strong selling activity. The next spinning top candle further confirmed market hesitation with the lack of buying strength to push prices above the resistance zone.