Image Source: Pixabay
 

It is entirely possible I’m doing this too soon, which is why I’m only entering half the position, but I have re-entered my long palladium position. The palladium futures themselves peaked fifteen trading days ago, and in my estimation, $1363 represents an important level of support for the metal. Should this be breached, I’ll take a loss on my long and be out of there like a shot.
 

I am entering this long by way of the PALL fund which, thinly-traded as it is, still represents the best way to go about this. My stop-loss is set at that dashed green line. If it fails, I’ll wait until about $116 or so. However, if we push past that red dashed line (which is the price gap above), I will add the rest of my long position at worse (but more encouraging!) prices.
 

A long-term view of PALL divided by SPY provides my most compelling reason: this is, I think, a sensationally bullish setup. So let’s see how this goes and if I get the opportunity to augment my position with a positive gap-close.
 

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