Silver Price Analysis: XAG/USD extends break of two-week-old trend line above $25.00
|- Silver remains positive after breaking previous resistance line on Tuesday, recently refreshed weekly top.
- Key SMA hurdles probe bulls, 61.8% Fibonacci retracement , one-week-old support line can challenge the sellers.
Silver refreshes weekly top to $25.48, currently up 0.90% around $25.40, during early Wednesday. The white metal broke a downward sloping trend line from January 06 the previous day but is currently battling the 200-bar SMA amid normal RSI conditions.
Given the commodity’s sustained break of prior resistance, silver is likely to cross the 200-bar SMA level near $25.50.
Following that, 100-bar SMA level of $26.05 and December-end tops near $26.60/65 can test the silver bulls ahead of directing them to the multi-day high of $27.92 and the $28.00 threshold.
On the flip side, a downside break below the immediate support line around $24.85 will highlight the $24.20/10 support zone comprising the 61.8% Fibonacci retracement of late-November 2020 to the early January 2021 upside and a descending trend line from January 11.
In a case where the bullion declines below $24.10, multiple supports around $23.60 can entertain silver sellers.
Silver four-hour chart
Trend: Bullish
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.