The bearish view in short term :
Palladium has still kept to develop the overlapping waves, likely in a running triangle as the minute degree wave b. Then rise in the following wave c of the same degree is probably ahead, in anticipation of an A -Triangle B – C in progress.
The immediate target for extreme point of the wave (e) of triangle is 765.35, where wave (e) equals 0.618 times the length of wave (c) – as a common relationship between the same direction subwaves in a triangle.
Note : The extreme point of wave (c) at 755 , could be considered as a “Red line” on this pattern. Because, wave E of a triangle pattern never moves beyond the end of wave C.
“A triangle appears to reflect a balance of forces, causing a sideways movement that is usually associated with decreasing volume and volatility. The triangle pattern contains five overlapping waves that subdivide 3-3-3-3-3 and are labeled A-B-C-D-E.”
As a rule about “Contracting Triangle” in Elliott Wave Principle :
” Wave C never moves beyond the end of wave A, wave D never moves beyond the end of wave B, and wave E never moves beyond the end of wave C. The result is that going forward in time, a line connecting the ends of waves B and D converges with a line connecting the end of waves A and C.”