Polymetal is down by 8 per cent in today’s trading session after opening at 175 and quickly dropping to trade at the current price of 163. The share price also looks poised to continue with the drop throughout the session, extending a five-day bearish trend.
Part of the reason we have continued to see the drop in Polymetal share price is due to the current sanctions imposed on Russia due to its invasion of Ukraine. The company, which has Russian and Kazakhstan roots, has found itself in a tough spot, with sanctions affecting its investors and its ability to operate normally.
The sanctions impact is also being felt indirectly by the company, following new sanctions that have made it harder for Russia to import machinery and technology for mining. This has also hindered the company from continuing its operations as before the war, and looking at the prices, the impact may have been translated into the markets.
It is also worth remembering that, earlier this year, Polymetal was trading above 1000p. The share price was also looking very positive, and there were signs that prices would continue to rise throughout the year. However, A day before Russia’s invasion, prices started to plummet, and since then, it has been in a downward spiral. Looking at the year-to-date data, Polymetal is down by 86 per cent, and there is a high likelihood that we will see the prices dropping further for the remaining period of the year.
Polymetal share price
My Polymetal share price prediction expects the current strong bearish trend to continue throughout the session. There is a high likelihood that the current bearish trend will see the prices drop below the 155p support level.
The Polymetal share drop recovery is dependent on sanctions being lifted and production returning to normal. Unfortunately, looking at the current political and economic environment, that is not likely to happen soon. Therefore, my bearish trend will likely continue for the next few weeks and months.
Polymetal Daily Chart
