Silver Price Analysis: XAG/USD gearing up for a rally towards $26?
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- Silver bulls gathering pace before the next push higher.
- XAG/USD charted a falling wedge breakdown on the 1H chart.
- 100-HMA offers immediate resistance, with bullish RSI.
Silver (XAG/USD) is probing the downward-sloping 100-hourly moving average (HMA) resistance at $24.45, awaiting a strong catalyst in the US Retail Sales data for a sustained break above the latter.
Acceptance above the latter will trigger a fresh rally towards the falling wedge pattern target aligned above the $26 mark.
The white metal confirmed a bearish wedge breakdown on the hourly chart in the US session last session and ever since has been consolidating the rebound from a drop to $23.60 levels.
On its way to $26 levels, the bulls could face stiff resistance at the October 12 high of $25.56.
The hourly Relative Strength Index (RSI) trades above the midline at 58.70, allowing more gains.
Alternatively, strong support is seen at $24.25, the confluence of the horizontal 200-HMA and bullish 21-HMA.
Below which the pattern resistance now support at $23.89 could be put to test.
XAG/USD: Hourly chart
XAG/USD: Additional levels
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