Price Objective for Bulls in Case Palladium Rallies

Palladium has entered a downtrend two and a half weeks ago, and the short-term (4-hour) chart shows that bearishness remains in place as prices has entered a descending channel. Yet it does not mean that some sort of a rally is impossible, be it a small correction or a change of the trend. The present chart suggests entry positions and profit-taking objectives for those willing to risk and place bullish bets on the falling commodity.

The yellow lines indicate the descending channel. The cyan line, situated 10% the channel’s width above the channel itself, offers the level to enter long positions. The green line together with the top yellow line creates a mirror image of the original channel switched to the upside and demonstrates the proposed level to cover long positions.

Click the image to enlarge it to a full-size screenshot:

You can download the MetaTrader 4 chart template for this pattern.

If you have any questions or comments regarding this chart pattern for oil, please feel free to reply below.