Palladium is a screaming (paper) short (Jan 25th)
http://i46.tinypic.com/mt85lh.jpg
source of the first chart: http://cotsignale.de/artikel/52-meta...e-20130126.pdf -> p. 5
The interesting part of the chart is the commercials (red) vs large speculators (green) positioning in paper markets. Speculators are massively long and commercials are massively short. A massive correction is basicly a certainty. I'm opening a paper short tomorrow. Target $690 (50 dma) for starters.
The 50dma has massively diverged from the 200dma and the spot price has diverged massively from the 50dma. That's a classical indication that a correction is overdue.
http://i48.tinypic.com/2a7dcug.png
Palladium's long term seasonality is also turning bearish in February:
http://www.seasonalcharts.de/img/MET...T/PALLADIU.GIF