Almost all roads lead to Platinum – TDS sales activity

After a brief period of covering, CTAs are now poised to add to their platinum market shorts again in almost all price scenarios in the coming week, notes Daniel Ghali, TDS Senior Commodity Strategist.

Palladium is also prone to selling

“In fact, only a large increase would prevent CTA selling activity from being catalyzed, and our simulations of future prices even suggest that an upgrade will lead to CTA selling activity. Algos could add up to -35% of their maximum size in a large lane. This setup presents a significant negative skew for the coming week.”

“In the palladium markets, while current prices are consistent with some CTA buying activity this session, the window for an algo-short-tightening play is already approaching and CTA selling activity is now expected to resume even in a flat lane in the next period. week. The upside asymmetries have already dissipated and the downside asymmetries are also emerging.”