Buy platinum and palladium now

Platinum and palladium belong to a extremely rare precious metal group, called PGMs (Platinum Group Metals), which includes palladium, platinum, rhodium, ruthenium, iridium and osmium. While as precious metals, they are mainly used for the auto industry, given their unique feature to clean the noxious car exhaust. Here is what is described in the Wikipedia "Over half of the supply of palladium and its congener platinum goes into catalytic converters, which convert up to 90% of harmful gases from auto exhaust (hydrocarbons, carbon monoxide, and nitrogen dioxide) into less-harmful substances (nitrogen, carbon dioxide and water vapor). Palladium is also used in electronics, dentistry, medicine, hydrogen purification, chemical applications, groundwater treatment and jewelry. Palladium plays a key role in the technology used for fuel cells, which combine hydrogen and oxygen to produce electricity, heat, and water."

So why now it is the time to buy them? You may not know, platinum and palladium are not widely available in nature and over 90% of the supply is coming from 2 countries only: Russia and South Africa. As you certainly know, Russia is currently facing a significant economic challenge thanks to the sanctions from the West. It has just been reported that the Russian supply of platinum and palladium to China has dropped by almost 50% recently. SA is no different. It has been afflicted with union issues for several years with constant strikes, resulting substantial reduction of all the mining business. Putting these two together, it is easy to expect that the supply of platinum and palladium will be drastically impacted and decline but the demand is still high. Almost inevitably the price of platinum and palladium will jump up quickly and soon. Adding to this supply shortage is another potential catalyst that there is strong evidence to suggest precious metals in general are likely recovering, which will also push up the prices of  platinum and palladium.

So how to play with this trend? I like StillWater (SWC), a mining company for PGMs. It has just broken out its 50 DMA. If I'm right, it will stay above this line and move further up. As with any mining stocks, this is a high risk stock but