Platinum futures may be leading the broader precious metals higher, to close out the trading week with a potentially significant upside breakout. As shown here on the Autochartist hourly chart, the price broke out from the Triangle chart pattern which has been guiding platinum's consolidation just below the $1,850 resistance level.
The breakout came with strong momentum and measures a full 10 bars on the platform, which serves to overshadow some of the technical weakness of the pattern caused by the erratic, volatile swings in the price during its development. This gives the pattern an average overall Quality rating, but the time and strength of the move higher is encouraging for further gains.
If the pattern plays out, the projected price targets are forecast to send the price of platinum back towards $1,900 per ounce, with a minimum target seen at $1,857 and the upper end of the range at $1,876 per ounce, which is well above the recent trading range, and may open the door for a run to higher prices after that level is successfully achieved.
A close back below $1,835 per ounce in the nearby futures would considerably reduce the bullish outlook for the short term.
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