Silver Price Analysis: XAG/USD sees modest uptick amid mixed US data
|- Silver advances 0.63% to $23.12, reacting to US employment strength and factory orders, countered by slowing business activity.
- XAG/USD's potential bullish push towards $24.00 contingent on reclaiming the 100-DMA at $23.30.
- Downside risks loom if Silver falls below $23.00, with targets at January 4 low of $22.69 and December 13 low of $22.51.
Silver price edged higher on Friday, though it retreated after hitting a two-day high of $23.51 after the release of mixed data from the US. A stronger-than-expected jobs report and a jump in factory orders suggest the economy remains robust. Nevertheless, business activity slowed sharply, approaching recessionary levels. At the time of writing, XAG/USD is trading at $23.12, gaining 0.63%.
The XAG/USD daily chart portrays the grey metal as neutral-biased. The 50, 100, and 200-day moving averages (DMAs) are flat, suggesting there’s indecision among traders. If buyers reclaim the 100-DMA at $23.30, that could pave the way for challenging the confluence of the 50 and 200-DMAs around $23.65. A decisive break would expose the $24.00 figure.
On the other hand, if XAG/USD sellers step in and drag prices from around current levels below $23.00, that would exacerbate a test of the January 4 low of $22.69. Once surpassed, sellers could challenge December’s 13 low of $22.51.
XAG/USD Price Action – Daily Chart
XAG/USD Key Technical Levels
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