Silver faces a weak recovery from its lowest level since July 12, trading in the mid-$23.00s during the early European session. Its offered tone remains, close to its daily range.
The XAG/USD’s recent decline from $25.25 shows resistance below the 61.8% Fibonacci retracement level and pauses around rising trend-line support. The lack of continued purchasing, failure near the 50% Fibo level, and negative oscillators suggest the least resistance path is to the downside.

To avoid bearish bets, wait for follow-through selling below the rising trend-line support at $23.20, near the 200-day Simple Moving Average. The XAG/USD may become vulnerable to a decline below $23.00 and a retest of the multi-month low reached in June. If the $22.00 level is broken, it could lead to significant short-term losses.

The 50% Fibo level in the $23.70 region serves as a short-term barrier, limiting upward movement. If further upward movement attracts more buyers, it will be restrained near the $24.00-$24.10 confluence support breakpoint. The 100-day SMA and 38.2% Fibo level are considered turning points. As the XAG/USD approaches the $24.75 barrier and $25.00 psychological threshold, it may be lifted back towards the 23.6% Fibo level, around the $24.45–$24.50 supply zone, due to persistent strength above that level.

Silver daily chart

By admin

Leave a Reply

Your email address will not be published. Required fields are marked *