Silver Price Analysis: XAG/USD gains modestly but is not out of the woods
- Silver edges up 0.25% to $22.538, with eyes on upcoming US inflation data.
- Break above $22.73 could aim for $23.00, facing resistance at 100 and 200-DMAs.
- XAG/SD risk of a drop below $22.20, with $21.93 as critical next support.
Silver price prints modest gains in the mid-North American session, as US Treasury bond yields drop sharply, as traders await next week’s inflation report out of the United States. At the time of writing, XAG/USD exchanges hands at $22.538, up 0.25%.
The non-yielding metal stays reluctant to crack below the $22.20 area for the second straight day as buyers lift XAG/USD toward the $22.50 area. Nevertheless, failure to conquer that level could keep Silver prices range-bound within the $22.00-$22.50 area ahead of crucial data.
If buyers extend their gains past the February 5 high at $22.73, that will open the way to challenge $23.00. Further upside levels emerge with the 100-day moving average (DMA) at $23.12 and the confluence of the 200 and 50-DMA at $23.40.
On the other hand and the path of least resistance, if sellers emerge and push prices below $22.20, look for a challenge of the January 22 year-to-date (YTD) low of $21.93.
XAG/USD Price Action – Daily Chart
XAG/USD Technical Levels
Author
Christian Borjon Valencia
FXStreet
Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.
