Silver Price Analysis: XAG/USD hovers nearby 6-week highs above $23.00

Silver price remains underpinned by a soft US Dollar and depressed US bond yields.
XAG/USD Price Analysis: A daily close above $23.00 could exacerbate a rally toward YTD highs.

Christian Borjon Valencia FXStreet

Silver price advances sharply to fresh six-week highs in the North American session, courtesy of a weak US Dollar (USD), which remains downward pressured by falling US Treasury bond yields. Hence, the XAG/USD is trading at $23.12 after hitting a daily low of $22.76.

XAG/USD Price action

During the Federal Reserve’s (Fed) monetary policy decision, the XAG/USD traded sideways around the $22.20s area before the US Treasury bond yields tumbled. After that, Silver rallied and tested the $23.00 figure before pulling back and closing at $22.97. However, Thursday’s price action resumed upwards, with buyers piling around the $22.70 area, and lifted XAG/USD price above the $23.00 mark.

Although the XAG/USD bias is neutral, the 20-day Exponential Moving Average (EMA) at $21.87 exceeded the 200-day EMA at $21.83. That could exacerbate another leg-up in Silver prices, and the white metal could test the YTD high at $24.63.

The XAG/USD first resistance would be the February 3 daily high at $23.59. Once cleared, the XAG/USD will be headed toward the $24.00 mark. Once broken, Silver will be poised to test the YTD high at $24.63.

In an alternate scenario, the XAG/USD first support would be $23.00. A daily close below the latter will keep XAG/USD price downward pressured.

XAG/USD Daily chart

XAG/USD Technical levels

XAG/USD

Overview
Today last price	23.17
Today Daily Change	0.20
Today Daily Change %	0.87
Today daily open	22.97

Trends
Daily SMA20	21.3
Daily SMA50	22.28
Daily SMA100	22.42
Daily SMA200	20.96

Levels
Previous Daily High	23.07
Previous Daily Low	22.27
Previous Weekly High	22.61
Previous Weekly Low	20.54
Previous Monthly High	24.64
Previous Monthly Low	20.42
Daily Fibonacci 38.2%	22.77
Daily Fibonacci 61.8%	22.58
Daily Pivot Point S1	22.47
Daily Pivot Point S2	21.97
Daily Pivot Point S3	21.67
Daily Pivot Point R1	23.27
Daily Pivot Point R2	23.57
Daily Pivot Point R3	24.07

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.

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