Silver Price Analysis: XAG/USD bulls appear well set to prod $24.50 hurdle


  • Silver Price remains firmer at monthly high after crossing the 200-SMA.
  • Upside break of previous key resistance area, bullish MACD signals suggest further advances of XAG/USD.
  • Overbought RSI hints at limited upside room and highlights lows marked during late April as immediate resistance.

Silver Price (XAG/USD) grinds near the highest level in a month, making rounds to $24.30 early Friday morning. In doing so, the bright metal cheers upside break of the 200-SMA amid a bullish MACD signal.

Adding strength to the upside bias is the XAG/USD run-up beyond the previously important resistance zone of around $24.00-24.05.

However, the nearly overbought RSI conditions challenge the Silver buyers as they approach a horizontal hurdle comprising lows marked during late April, around $24.50. Also acting as an upside filter is the May 02 bottom surrounding $24.60.

Following that, a run-up towards $26.00 and the previous monthly high of around $26.15 can’t be ruled out.

On the flip side, a break of the 200-SMA level of $24.20 could quickly recall the XAG/USD sellers targeting the $24.05-24.00 resistance-turned-support.

In a case where the Silver Price remains bearish past $24.00, a fortnight-old ascending trend line near $23.50 can act as the last defense of the XAG/USD buyers.

Overall, the Silver Price is likely to remain firmer but the upside room appears limited as the US Dollar bears take a breather.

Also read: US Dollar Index: DXY suffers from downbeat US data, pre-Fed positioning at 13-day low near 103.30

Silver Price: Four-hour chart

Trend: Limited upside expected

Additional important levels

Overview
Today last price 24.34
Today Daily Change 0.07
Today Daily Change % 0.29%
Today daily open 24.27
 
Trends
Daily SMA20 23.57
Daily SMA50 24.49
Daily SMA100 23.35
Daily SMA200 22.23
 
Levels
Previous Daily High 24.36
Previous Daily Low 23.43
Previous Weekly High 24.02
Previous Weekly Low 22.93
Previous Monthly High 26.14
Previous Monthly Low 22.68
Daily Fibonacci 38.2% 24
Daily Fibonacci 61.8% 23.79
Daily Pivot Point S1 23.68
Daily Pivot Point S2 23.09
Daily Pivot Point S3 22.76
Daily Pivot Point R1 24.61
Daily Pivot Point R2 24.94
Daily Pivot Point R3 25.53

 

 

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