Silver Price Analysis: XAG/USD fails to extend 10-DMA breakout towards $26.00
- Silver retreats from intraday high during three-day uptrend.
- Bearish MACD signals, failure to cross 23.6% Fibonacci retracement tease sellers.
- The previous support line from February adds to the upside filters, 50-DMA appears strong support.
Silver (XAG/USD) remains pressured around $25.50 heading into Friday’s European session. Even so, the bright metal remains positive on a day for the third consecutive time at the latest.
The quote rose to the fresh high nearly two weeks the previous day. However, failures to cross the 23.6% Fibonacci retracement (Fibo.) of February-March upside, near $25.80, joined bearish MACD signals to challenge XAG/USD upside afterward.
That said, the quote’s latest weakness eyes to retest the 10-DMA level of $25.16 before directing bears toward the 50% Fibo. level and the 50-DMA, respectively around $24.50 and $24.20.
On the contrary, fresh recovery may aim for a clear break of the 23.6% Fibo. level surrounding $25.80 before targeting the $26.00 threshold.
Even so, the support-turned-resistance line from early February, near $26.25 at the latest, becomes a tough nut to crack for the XAG/USD bulls.
In a case where the commodity prices rally beyond $26.25, the odds of witnessing an upside to the monthly high near $26.95 can’t be ruled out.
Silver: Daily chart
Trend: Pullback expected
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.
