Beginning the week in a downer, silver hit a new low not seen since July 7. It is oscillating inside a constrained trading range above the mid-$22.00 range while in a negative consolidation phase. The least-resistance path for XAG/USD, according to the technical setup, is to the downside.

With a recent decrease and a breakdown of a short-term ascending trend line, the price movement of the XAG/USD currency pair is in a bearish consolidation phase. Technical indicators and the 200-day Simple Moving Average both continue in the red, supporting a further decline.

t’s possible that prices will retest the multi-month low around $22.15–$22.10. If sold for less than $22.00, it might reveal intermediate support at the $21.00 price point. The bearish trend may continue to the YTD low or to values below the psychological level of $20.00.

Although the recovery is capped close to the crucial point, the selling opportunity may be considered as be near the $23.30 support breakpoint. If successfully cleared, it can result in a quick covering move. Before attempting to retake the $24.00 level, the XAG/USD may quicken its rebound towards $23.60-$23.65.

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