- Silver price stays defensive after reversing from three-week high.
- Repeated pullbacks from 10-DMA, bearish MACD signals keep XAG/USD sellers hopeful.
- Three-week-long bearish channel restricts immediate Silver price moves ahead of previous resistance line from January.
Silver (XAG/USD) price seesaws around $25.00 as markets portray traders’ anxiety ahead of the key data/events on early Tuesday, after reversing from a three-week top the previous day.
In doing so, the XAG/USD remains within a three-week-old bearish trend channel while staying below the 10-DMA hurdle since April 19.
On only the failure to cross the 10-DMA and a bearish channel but the downbeat MACD signals also keep the Silver price on the seller’s radar.
However, the stated downward-sloping channel’s bottom line, close to $24.50, puts a floor under the Silver price ahead of the resistance-turned-support line stretched from early January, near $24.00 by the press time.
It’s worth noting that the XAG/USD weakness past $24.00 won’t hesitate to direct the commodity price toward January’s low near $22.75.
Meanwhile, an upside clearance of the 10-DMA level of $25.10 can favor the Silver buyers to prod the top line of the aforementioned bearish channel, around $25.90 at the latest.
Following that, the Year-To-Date (YTD) high of around $26.10 and the April 2022 peak near $26.25 will be in the spotlight.
Overall, the Silver price is likely to remain depressed inside a bearish chart formation.
Silver: Daily chart
Trend: Limited downside 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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD regains traction, recovers above 1.0700
EUR/USD regained its traction and turned positive on the day above 1.0700 in the American session. The US Dollar struggles to preserve its strength after the data from the US showed that the economy grew at a softer pace than expected in Q1.
GBP/USD returns to 1.2500 area in volatile session
GBP/USD reversed its direction and recovered to 1.2500 after falling to the 1.2450 area earlier in the day. Although markets remain risk-averse, the US Dollar struggles to find demand following the disappointing GDP data.
Gold climbs above $2,340 following earlier drop
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
After the US close, it’s the Tokyo CPI
After the US close, it’s the Tokyo CPI, a reliable indicator of the national number and then the BoJ policy announcement. Tokyo CPI ex food and energy in Japan was a rise to 2.90% in March from 2.50%.