Platinum Faces Resistance: Shooting Star Signals Bearish Outlook

Platinum Faces Resistance: Shooting Star Signals Bearish Outlook
In today's analysis, let's focus on Platinum, which yesterday bounced off a crucial resistance level. This resistance is formed by the upper boundary of a symmetric triangle pattern, which also coincides with a mid-term downtrend line. For nearly a year, Platinum has been trading sideways within this symmetric triangle, outlined by black lines on the chart.

Earlier this month, in August, the price bounced off the lower boundary of the triangle, and just yesterday, it rejected the upper boundary. This latest bounce was accompanied by a shooting star candle, marked in blue, which is typically a strong bearish signal, especially when it occurs at a key resistance level. Given this setup, my outlook for Platinum is bearish, with a potential target on the lower boundary of the triangle.

However, if the price were to close above the upper black line, it would signal a potential buy opportunity. That said, the likelihood of this scenario seems rather low at the moment, reinforcing a negative sentiment toward Platinum.


 
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