Silver Price Analysis: Two-month-old resistance line lures the bulls above $18.00
|- Silver prices take the bids near 13-week top.
- Sustained trading above 200-day SMA keeps the buyer hopeful amid bullish MACD.
- Overbought RSI also questions the optimists below a nine-month-old resistance line.
Silver nears the highest since February 27 while taking the bids around $18.08, intraday high of $18.13, up 1.2% on a day, during Monday’s Asian session.
Although overbought RSI conditions seem to probe the bulls, upbeat MACD and the bullion’s ability to remain beyond 200-day SMA speak louder of its strength.
As a result, an upward sloping trend line from April 07, at $18.32, lures the buyers, for now. However, failures to step back from the short-term resistance-line could propel the quote further towards a descending trend line from the early-September 2019, currently around $18.55.
Meanwhile, May 20 top near $17.63 could entertain the sellers during the pullback before a 200-day SMA level of $16.97.
Additionally, 61.8% Fibonacci retracement of the metal’s fall from September 2019 to March 2020, at $16.60, could challenge the bears afterward.
Silver daily chart
Trend: Bullish
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