Should Short Term Traders Sell Platinum?
Platinum prices have surged dramatically in late 2025, hitting levels not seen in over 17 years. On December 18, 2025, the price reached 1,974.30 USD per troy ounce, up 2.40% from the previous day, with a 28.32% gain over the past month and 114.18% over the last year.https://tradingeconomics.com/commodity/platinum[3] This rally pushed platinum above 1,950 USD per ounce, fueled by investors seeking precious metals amid US dollar weakness and economic uncertainty.https://tradingeconomics.com/commodity/platinum[3]
For short term traders, the question is whether to lock in these gains or hold. Prices jumped from around 920 USD per ounce a year ago to over 1,900 USD now, a 106.67% increase.https://fortune.com/article/current-price-of-platinum-12-18-2025/[5] In Q3 2025, platinum rose 16%, supported by strong demand in jewelry and automotive sectors, especially in China where fabrication grew 8% year-on-year.https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf[2] The market faces a projected deficit of 692 thousand ounces in 2025, down from earlier estimates but still tight due to South African mining issues and rising demand from catalytic converters and hydrogen fuel cells.https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf[2]
Recent trading shows volatility. On December 19, 2025, prices dipped to 1,932.70 USD per ounce, down 0.89%.https://tradingeconomics.com/commodity/platinum[3] Analysts note a key resistance at 1,973 USD, a 161.8% Fibonacci extension level, where selling pressure could build.https://www.economies.com/commodities/platinum-analysis/platinum-price-hits-the-main-target%E2%80%93-forecast-today-%E2%80%93-18-12-2025-123537[4] Stability below this might lead to pullbacks toward 1,900 USD or 1,860 USD support.https://www.economies.com/commodities/platinum-analysis/platinum-price-hits-the-main-target%E2%80%93-forecast-today-%E2%80%93-18-12-2025-123537[4] Elevated lease rates signal ongoing tightness, but profit-taking from ETF holders could emerge in 2026 as supply from recycling grows.https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf[2]
Earlier in Q3, US prices hit 1,540 USD per ounce, up 11.6% quarter-on-quarter, with even stronger gains in China at 18% and Germany at 19%.https://www.imarcgroup.com/news/platinum-price-index[1] Global demand is set to grow from 194.68 tons in 2025 to 271.15 tons by 2034 at a 3.75% CAGR, driven by emissions standards and industrial uses.https://www.imarcgroup.com/news/platinum-price-index[1] Yet, short term risks include US tariffs easing Indian jewelry exports and a cyclical downturn in glass demand.https://platinuminvestment.com/files/954835/WPIC_Platinum_Quarterly_Q3_2025.pdf[2]
History warns of sharp reversals. In 2008, platinum peaked near 2,100 USD before crashing below 800 USD on forced sales and demand collapse.https://fortune.com/article/current-price-of-platinum-12-18-2025/[5] Today’s rally echoes that spike, with supply strains from South Africa and investor shifts from gold adding fuel.https://fortune.com/article/current-price-of-platinum-12-18-2025/[5]https://www.bullionvault.com/gold-news/gold-price-news/platinum-gfex-palladium-12172025