Silver Price Analysis: XAG/USD licks its wounds near five-month-old support around $23.00
- Silver Price struggles to extend 200-DMA breakdown as ascending trend line from early March prod sellers.
- Below-50.0 RSI adds strength to downside barriers ahead of directing XAG/USD price toward June’s low.
- Silver buyers have a bumpy road to travel on their return despite crossing jumping back beyond 200-DMA.
Silver Price (XAG/USD) remains on the back foot at the lowest level in a month, making rounds to $23.10-05 during the early Asian session on Tuesday.
That said, the quote’s latest inaction could be linked to the XAG/USD’s inability to extend the 200-DMA breakdown as a five-month-old support line challenges the bears. Also providing headwinds to the Silver Price are the below 50.0 conditions of the RSI (14) line that suggests bottom-picking.
However, the bearish MACD signals join the key DMA breakdown to keep the Silver sellers hopeful.
Hence, the commodity’s fresh downside may wait for a clear break of the stated support line, close to $23.00 by the press time.
Following that, the November 2022 peak of around $22.25 and June 2023 bottom surrounding $22.10 may prod the XAG/USD sellers before directing them to an 11-month-old rising support line, close to $21.75 by the press time.
Alternatively, recovery moves must provide a daily closing beyond the 200-DMA hurdle of $23.20.
Even so, the $24.00 round figure, June’s peak of around $24.55 and a downward-sloping resistance line from May 05, near $25.05 by the press time, will challenge the XAG/USD.
Silver Price: Daily chart
Trend: Limited downside 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.
