⬤ Last week wrapped up with palladium flashing a spinning top candle on the weekly chart—basically the market's way of saying "I need a breather." Prices bounced around without picking a clear direction, settling into what looks like a textbook bullish pennant after climbing hard in recent weeks. The chart shows price action hanging comfortably above rising support levels, suggesting this sideways movement is just traders catching their breath rather than anything sinister.
⬤ Zoom out to the bigger picture, and palladium's weekly setup still looks pretty solid. Since early 2025 kicked off, the metal has been printing higher highs and higher lows like clockwork—the kind of staircase pattern that makes technical traders smile. Right now we're seeing compression rather than distribution, with no dramatic breakdowns below important support zones. The market seems to be digesting its recent gains rather than rejecting them.
⬤ The momentum story gets more interesting when you look at the moving averages. "The 50-week exponential moving average is nearing a crossover above the 200-week exponential moving average, a technical development commonly associated with strengthening trend momentum," while oscillators are staying elevated despite the short-term pause. That's the kind of setup that usually keeps bulls paying attention.
⬤ Why does palladium's behavior matter beyond the metal itself? Because it's deeply connected to industrial demand and often acts as a sentiment barometer for the broader metals complex. When a commodity consolidates within a clear uptrend like this, it tends to influence expectations across related markets. How palladium breaks out of this pennant pattern could set the tone for precious and industrial metals heading into the next phase of trading.
