• Platinum futures consolidate around the 900 mark

• Price repeatedly fails to conquer 23.6% Fibonacci

• Momentum indicators tilt to the negative side

Platinum futures (April delivery) experienced a steep downtrend in the second half of 2023, falling from 1,135 to as low as 841 in late November. Since then, the price has been attempting a recovery, but so far it has failed to escape its medium-term rangebound pattern.

Given that both stochastics and RSI point to intensifying downside pressures, the price could challenge its January support of 882, which also held strong in August. Failing to halt there, platinum futures may descend towards the 2024 bottom of 871. A violation of the sideways structure could shift attention towards the October low of 855.

On the flipside, if buyers re-emerge and push the price higher, immediate resistance could be met at 910, which is the 23.6% Fibonacci retracement of the 1,135-841 downtrend. Conquering this barricade, the bulls might attack the 38.2% Fibo of 953. Further advances could then cease at the 50.0% Fibo of 988, a region that provided resistance in July and August.

Overall, Platinum futures have been developing in a sideways pattern for the past eight months, appearing unable to reverse their longer-term retreat. Hence, for the bulls to regain confidence the price needs to jump back above the declining 50- and 200-day simple moving averages (SMAs).