Silver Price Analysis: XAG/USD eases from support-turned-resistance around $23.50
|- Silver consolidates the heaviest daily gains in three months.
- MACD teases bulls but a clear break of previous support line, 20-DMA becomes necessary for further upside.
- Latest swing lows restrict short-term downside ahead of the monthly low.
Silver (XAG/USD) takes offers around $23.55, down 0.26% on a day, during Tuesday’s Asian session.
The bright metal jumped the most since mid-May the previous day, offering a daily closing beyond 10-DMA for the first time since early August.
While the earlier run-up lures silver buyers to retake the controls, a downward sloping trend line from June 21challenges the quote’s immediate upside around $23.66.
In addition to the previous support line, 20-DMA level near $24.20 and July’s low near $24.50 also challenge the commodity bulls.
It’s worth noting that a descending resistance line from June 11 adds strength to the $24.50 hurdle.
Meanwhile, a downside break of 10-DMA, around $23.50, will drag the quote back towards the $23.00 horizontal support comprising lows marked in two weeks.
However, any further weakness past $23.00 can make the silver prices vulnerable to retest the monthly low, also the lowest since November 2020, around $22.15.
Silver: Daily chart
Trend: Pullback expected
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