Platinum has been on a tear since the the FOMC statement, and it is only going to get better. The abandoned fine jewelry metal has high targets… and I do mean high.

There is a picture of the seasonality profile for platinum. It is extended compared to gold, and runs until late April (on average). You can witness a perfect example in 2016, from the FOMC statement bottom in mid December, to the high on April 29.

Platinum, like the other precious metals, had a very low reading in the COT (Commitment of Traders, published data every Friday that shows futures positioning on Tuesday, 3 day old data…) data leading into and after the FOMC statement.

What we are witnessing is an epic breakdown failure (month of December generated new 2017 lows). Someone wise once said… there is nothing… nothing more powerful in the stock/commodity market than a failed breakout after an already extended trend. Voila, that is what you have for platinum.

My target is the full AB=CD move to 1260. This will take over a year most likely. so the immediate target is the Feb 20 2017 Weekly close near 1030. That seems reasonable in the next 10-12 weeks.

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A closer look on the day chart shows that we had ANOTHER breakout today of a key trendline. The result was a 10 point move higher. I left some of the indicators on the original chart to show what we are doing. Notice the false breakdown in December beneath the Month ATR stop. Similarly, we can have daily ATR stops which work handily for commodities.

Notice the average lengths of the stops (month and daily) during a bullish phase. Before they stop out the typical run is 50+ candles.

Cameron