Silver Price Analysis: Bear cross on 4H keeps XAG/USD sellers hopeful below $24.00
- Silver fades rebound from monthly low, remains sidelined of late.
- Bear cross, failures to keep recovery from the key Fibonacci retracement level favor sellers.
- Weekly falling trend line adds to the upside filters.
Silver (XAG/USD) consolidates the bounce off a 12-day low while easing to $23.73 during a sluggish Asian session on Tuesday.
The bright metal refreshed multi-day low the previous day but failed to provide a decisive trading below 61.8% Fibonacci retracement of August 20 to September 03 upside.
That said, a bearish crossover of the 50-EMA past 100-EMA joins a downward sloping RSI line, not oversold, to keep silver sellers hopeful.
Hence, the stated key Fibonacci retracement level near $23.60 is nearby support to watch before targeting the latest low, also the lowest since August 27 around $23.40-30.
It should be noted that the late-August swing lows close to $22.87 may offer an intermediate halt during the commodity’s fall below $23.30, targeting the yearly low surrounding $22.15.
On the contrary, recovery moves need to cross a one-week-old falling resistance line, near $24.00, before challenging a convergence of the stated EMAs near $24.05.
Even if the XAG/USD bulls manage to cross $24.05, 23.6% Fibonacci retracement and early September lows, close to $24.40 and $24.65-70 in that order, will be the key to watch.
Silver: Four-hour chart
Trend: Further weakness expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
