Silver Price Analysis: XAG/USD looks to consolidate above $24.50 ahead of US NFP
- XAG/USD trades higher ahead of US employment data.
- RSI indicates the bullish bias of the traders; the weekly high appears to be key resistance.
- Seven-day EMA could act as the immediate support lined up with 23.6% Fibo.
XAG/USD snaps the two-day losing streak, trading higher around $24.50 during the early trading hours in the European session on Friday. The pair is experiencing upward support after the moderate inflation data from the United States (US) was released on Thursday. US Core Personal Consumption Expenditures (PCE) - Price Index, rose at the rate of 4.2% on a monthly basis in July as per the market consensus, from 4.1% prior.
However, the traders of the bright metal will likely monitor the releases of US employment and manufacturing data before making fresh bets on the XAG/USD pair. These datasets include the US Average Hourly Earnings, Nonfarm Payrolls and ISM Manufacturing PMI.
The 14-day Relative Strength Index (RSI) remains above 50, indicating a bullish bias of the XAG/USD traders. The bulls could face a challenge around the weekly high at $25.01, followed by July’s high at $25.26.
The Moving Average Convergence Divergence (MACD) line remains above the centerline and shows the divergence above the signal line, which indicates that recent momentum is stronger.
On the flip side, the seven-day Exponential Moving Average (EMA) at $24.30 emerges as the immediate support aligned to 23.6% Fibonacci retracement at $24.35.
A break below that level could push the Silver price to navigate the region around a nine-day EMA at $24.19, followed by a 38.2% Fibonacci retracement at $23.94.
XAG/USD: Daily Chart
Author
Akhtar Faruqui
FXStreet
Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.
