Silver Price Analysis: XAG/USD eyes 21-day SMA on two-week-old support break


  • Silver extends losses from a fortnight top marked the previous day.
  • Receding strength of bullish MACD signals, downward sloping RSI favor sellers.
  • A 2.5-month-old support line challenges bear below the short-term key support line.

Silver prices remain depressed around $27.12, down 0.24%, despite recently bouncing off an intraday low of $27.05. The reason could be traced from the metal’s downside break of an ascending support line, now resistance, stretched from February 04.

Also favoring the bullion sellers could be the latest reduction in the MACD’s bullish signals and descending RSI line.

That said, the commodity prices currently drop towards a 21-day SMA level of $26.65, a break of which will highlight an ascending support line from November 30, at $25.60.

Although silver is likely to stay beyond the stated support, unless any drastic fundamental change, a clear downside break of $25.60 will not hesitate to refresh the yearly low of $24.18 marked the previous month.

On the flip side, an upside break above the previous support, at $27.40 now, will eye for the $28.00 and the $29.00 thresholds during the run-up to the monthly peak surrounding $30.05.

To sum up, silver is likely to extend the latest weakness but a trend change is yet to be confirmed.

Silver daily chart

Trend: Bullish

Additional important levels

Overview
Today last price 27.12
Today Daily Change -0.09
Today Daily Change % -0.33%
Today daily open 27.21
 
Trends
Daily SMA20 26.63
Daily SMA50 26.03
Daily SMA100 25.07
Daily SMA200 23.51
 
Levels
Previous Daily High 27.96
Previous Daily Low 26.83
Previous Weekly High 27.81
Previous Weekly Low 26.71
Previous Monthly High 27.92
Previous Monthly Low 24.19
Daily Fibonacci 38.2% 27.26
Daily Fibonacci 61.8% 27.53
Daily Pivot Point S1 26.71
Daily Pivot Point S2 26.21
Daily Pivot Point S3 25.58
Daily Pivot Point R1 27.83
Daily Pivot Point R2 28.46
Daily Pivot Point R3 28.96

 

 

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.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD struggles around 1.21 amid sour market mood

EUR/USD has extended its falls and struggles around 1.21 as the risk-off mood and elevated US bond yields favor the dollar. President Biden's stimulus bill ran into a snag. The Fed's preferred inflation measure and end-of-month flows are eyed.

EUR/USD News

Gold melts below $1,750, lowest in 8 months amid high Treasury yields

Gold (XAU/USD) has been extending its downfall as elevated bond yields make the precious metal – which provides no returns – less attractive.

Gold news

S&P 500 Day Ahead Outlook: Inflation fears see bears back bashing

An ugly day for stock markets on Thursday as the dirty word inflation reared its head again. Just when you thought Powell had killed off the thought, it came back stronger in the sequel!

Read more

Bitcoin ready for bullish continuation as crypto bull cycle pauses

Bitcoin retest support at $45,000 after failing to break the resistance at $52,000. A break above the range between $48,000 and $49,500 will bring back a bullish impulse.

Read more

US Dollar Index remains firm around 90.60 post-data

The US Dollar Index (DXY), which gauges the buck vs. a basket of its main rivals, keeps the bid tone unchanged around 90.60 on Friday.

US Dollar Index News

Forex MAJORS

Cryptocurrencies

Signatures