Silver Price Analysis: XAG/USD crosses monthly resistance to approach $20.00

Silver price extends bounce off 50-DMA to renew intraday high.
Bulls jostle with 100-DMA, descending trend line from early October.
Firmer oscillators favor bulls but daily closing beyond $19.55 appears necessary to test previous monthly peak.
Two-month-old ascending support line acts as additional downside filter.

Anil Panchal FXStreet

Silver price (XAG/USD) takes the bids to refresh intraday high near $19.60 heading into Tuesday’s European session.

In doing so, the bright metal not only justifies the previous day’s rebound from the 50-DMA but also crosses the 100-DMA and a one-month-long resistance line to please XAG/USD buyers hopeful.

That said, firmer RSI (14) and bullish MACD signals also strengthen the odds favoring the commodity’s further upside.

However, a daily closing beyond the 100-DMA hurdle surrounding $19.55 becomes a pre-requisite for the XAG/USD bulls to take control.

Also likely to challenge the silver buyers is the previous weekly top near $19.80, a break of which won’t hesitate to challenge the October month’s peak of $21.24. During the run-up, the $20.00 psychological magnet may act as an extra resistance to watch for the bulls.

On the contrary, a daily closing below the aforementioned resistance line, close to $19.40 by the press time, could reverse the short-term bullish bias.

Even so, the XAG/USD sellers will wait for a clear downside break of the 50-DMA, close to $19.10, to take entries. Following that, an upward-sloping support line from early September, around $18.45 at the latest, appears the last defense of the silver bulls.

Silver: Daily chart

Trend: Bullish

Additional important levels

Overview
Today last price	19.58
Today Daily Change	0.42
Today Daily Change %	2.19%
Today daily open	19.16

Trends
Daily SMA20	19.38
Daily SMA50	19.11
Daily SMA100	19.54
Daily SMA200	21.58

Levels
Previous Daily High	19.26
Previous Daily Low	18.9
Previous Weekly High	19.78
Previous Weekly Low	18.79
Previous Monthly High	21.24
Previous Monthly Low	18.09
Daily Fibonacci 38.2%	19.04
Daily Fibonacci 61.8%	19.12
Daily Pivot Point S1	18.96
Daily Pivot Point S2	18.75
Daily Pivot Point S3	18.6
Daily Pivot Point R1	19.32
Daily Pivot Point R2	19.47
Daily Pivot Point R3	19.68

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.

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