Silver Price Analysis: XAG/USD looks set to reclaim $26.00 despite overbought RSI
|- Silver price remains firmer around the highest levels in a year, seesaws of late.
- Clear upside break of previous key resistance lines, bullish MACD signals favor buyers to aim for April 2022 high.
- Overbought RSI can test the XAG/USD bulls around $26.00 round figure.
Silver price (XAG/USD) clings to mild gains around $25.50-55 during early Thursday as bulls take a breather after refreshing the highest levels in a year the previous day. Also challenging the immediate XAG/USD upside is the overbought RSI (14) line.
However, a clear upside break of the one-week-old descending resistance line, now immediate support near $25.45, joins sustained trading beyond a one-month-old ascending trend line, close to $25.15, to keep the Silver buyers hopeful.
It’s worth noting that the precious metal’s successful U-turn from the previous resistance line from late March, around $25.10 by the press time, also challenges the Silver sellers.
In a case where the Silver price remains downbeat past $25.10, the $25.00 round figure and the 100-SMA support of $23.35 will act as the last defense of the XAG/USD bulls.
On the flip side, the $26.00 round figure may join the overbought RSI (14) to challenge the Silver buyers, a break of which could propel the XAG/USD price towards the April 2022 high of near $26.25.
Following the previous yearly high of around $26.95 and the $27.00 threshold will be in focus.
Overall, the Silver price remains on the bull’s radar despite the latest inaction around the multi-day top.
Silver price: Four-hour chart
Trend: Further upside expected
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.