- Silver consolidates recent gains during three-day uptrend, stays inside bearish chart pattern.
- RSI pullback from overbought territory signals further weakness, 100-HMA offers immediate support.
- 200-HMA acts as a tough nut to crack for bulls.
Silver (XAG/USD) prices pare early day gains around $22.50 heading into Tuesday’s European session.
In doing so, the bright metal stays inside an immediate rising wedge bearish chart pattern.
Given the recent RSI retreat from overbought territory, the commodity’s latest weakness is likely to test the 100-HMA support of $22.45. However, any further weakness will be challenged by the stated wedge’s support line, near $22.40 at the latest.
Should the quote drop below $22.40, the odds of its slump to the monthly low near $21.95 can’t be ruled out.
It’s worth mentioning that the bottom marked during September and December months of 2021, around $21.40, becomes crucial support to watch afterward.
Alternatively, a clear upside break of $22.60 immediate resistance line, forming part of the wedge, will escalate rebound towards the 200-HMA level of $22.73.
Following that, a one-week-old descending trend line around $23.00 will gain the market’s attention.
Silver: Hourly chart
Trend: Further weakness expected
Additional important levels
|Today last price||22.52|
|Today Daily Change||0.05|
|Today Daily Change %||0.22%|
|Today daily open||22.47|
|Previous Daily High||22.52|
|Previous Daily Low||22.2|
|Previous Weekly High||23.41|
|Previous Weekly Low||21.96|
|Previous Monthly High||23.44|
|Previous Monthly Low||21.42|
|Daily Fibonacci 38.2%||22.4|
|Daily Fibonacci 61.8%||22.32|
|Daily Pivot Point S1||22.27|
|Daily Pivot Point S2||22.07|
|Daily Pivot Point S3||21.94|
|Daily Pivot Point R1||22.6|
|Daily Pivot Point R2||22.72|
|Daily Pivot Point R3||22.92|
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