-- Posted Tuesday, 23 October 2007 | Digg This Article
| Source: GoldSeek.com
There is nothing that man fears more than the touch of the unknown. He wants to see what is reaching towards him, and to be able to recognize or at least classify it. Man always tends to avoid physical contact with anything strange
Elias Canetti 1905-, Austrian Novelist, Philosopher
P is for palladium as it’s for patience and no metal out there has demanded as much patience as this chap. Thus on the same token when it comes to handing out rewards we believe those who were patient enough to use every major pull to add to their positions will in turn reap tremendous rewards too. We have a rather explosive long term pattern in the works (key word being long term) and this pattern is going to lead to at the very least another 100% move if not more. Note that we have multiple channel formations and all these multiple channel formations have actually taken place inside one massive channel formation that dates back to 2001. Key areas of resistance which will ultimately provide incredible support are 380 and then 450. The main resistance being that provided by the 450 price point level; a break past this point on strong volume is going to produce a thunderous move that will most likely end only after 870-920 ranges are tested.
Once again we are performing a long term analysis here and not an intermediate or short term analysis.
First zone is 380; Palladium needs to trade above this zone for 18 days in a row to warrant a test of 420, where it will run into mini resistance and could pull back to the 380 mark or lower. However this pull back should simply be viewed as another buying opportunity.
2nd zone 450; this represents the 6 year high and obviously its going to provide quite a bit of resistance to say the least. We would not be surprised if it took at the very minimum 3 attempts to break past this zone. Palladium will need to trade for a full 30 days past this level; if it can achieve this feat then the chances of it trading to and past the high 800 to lower 900 ranges is virtually assured.
We would use every dip below 336 to add to our bullion positions. In the years to come bullion players will look at this mark with disbelief just as they are now looking at the 140-180 ranges with disbelief; it was in these ranges that we first began to pound the table on palladium bullion and those who followed are already sitting on open gains of over 100%.
Only the unknown frightens men. But once a man has faced the unknown, that terror becomes the known.
Antoine De Saint-Exupery 1900-1944, French Aviator, Writer
Charts provided courtesy of www.prophetfinance.com
-- Posted Tuesday, 23 October 2007 | Digg This Article | Source: GoldSeek.com
