Silver Price Analysis: XAG/USD sellers attack 100-SMA to keep reins below $26
|- Silver takes offers to refresh intraday low, prints four-day downtrend.
- Sustained break of monthly support line, downbeat RSI favor sellers.
- Three-week-old horizontal support, 200-SMA test the bears, falling trend line from April 21 adds to the upside filters.
Silver extends the last week’s downside break of the monthly support line, now resistance, while taking offers near $25.80, down 0.22% intraday, during Monday’s Asian session.
Although 100-SMA tests silver bears, for now, a downward sloping RSI line and a clear break of the previous key support signal further decline of the white metal.
It should, however, be noted that early April highs around $25.60, quickly followed by a 200-SMA level of $25.50, guards the quote’s short-term downside.
Meanwhile, corrective pullback needs not only a clear run-up beyond the previous support line around $26.25 but also a break of descending resistance line from April 21, near $26.35, to recall silver buyers.
Following that, the previous month’s top around $26.65 and the $27.00 will be the key to watch.
Silver four-hour chart
Trend: Further weakness 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.