- Silver extends Friday’s losses by breaking immediate bullish triangle.
- RSI conditions, 100-HMA probe the further downside, weekly horizontal support also challenges bears.
- Bulls need a clear break of $22.51 to retake control.
Silver (XAG/USD) remains on the back foot for the second consecutive day, down 0.75% around the intraday low of $21.47, as bears cheer a technical breakout during early Monday. Also keeping sellers hopeful is the broad US dollar strength and the bright metal’s failure to cross the $22.00 hurdle.
However, the nearly oversold RSI conditions and the 100-HMA restrict immediate declines of the XAG/USD to around $21.50. Also acting as a downside filter is the one-week-old horizontal support near $21.35.
Should the quote drop below $21.35, the odds of witnessing a fresh monthly low, currently around $20.90, can’t be ruled out. The same highlights the yearly bottom marked in May, close to $20.45.
Meanwhile, the silver buyer’s return needs a clear upside break of the $22.00 hurdle. Though, the 200-HMA level of $21.65 and the aforementioned triangle’s lower line around $21.80 may restrict the immediate recovery of the metal.
In a case where the commodity prices rise beyond $22.00, the $22.30 and a monthly high of $22.51 may rest the XAG/USD bulls before giving them control.
Silver: Hourly 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. 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 drops below 1.0800 after German Retail Sales data
EUR/USD has come under fresh selling pressure and trades below 1.0800 after the data from Germany showed that Retail Sales declined by 1.9% MoM in February. Resurgent US Dollar demand is adding to the downside in the pair. US data are next in focus.
GBP/USD stays weak near 1.2600 amid market caution
GBP/USD remains defensive near 1.2600 in European trading on Thursday. The hawkish tone from Fed Governor Christopher Waller keeps the US Dollar afloat amid a cautious trading environment ahead of key US data releases and the Good Friday trading lull.
Gold price bulls keenly await US PCE Price Index on Friday before placing fresh bets
Gold price (XAU/USD) continues with its struggle to make it through the $2,200 mark on Thursday and oscillates in a narrow trading band through the early part of the European session.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
Portfolio rebalancing and reflation trades emerge into Q2
Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.