• Silver price fades bounce off 100-SMA, retreats from three-day-old resistance line.
  • Bearish RSI divergence keeps sellers hopeful to aim for 200-SMA.
  • Monthly support line adds to the downside filters, buyers need validation from $21.30.

Silver price (XAG/USD) retreats from intraday high as sellers approach $21.00 during early Tuesday morning in Europe.

In doing so, the bright metal eases from a downward sloping trend line from Thursday while consolidating the first daily gains in six.

It’s worth noting that the lower high formation in the last three days join higher high on the Relative Strength Index (RSI) placed at 14, which in turn portrays a hidden bearish divergence and suggests further downside of the metal.

That said, the 100-SMA level surrounding $20.80 acts as immediate support ahead of directing the XAG/USD bears toward the $20.00 psychological magnet.

In a case where silver sellers keep the reins past $20.00, the 200-SMA and one-month-old ascending trend line, respectively near $19.95 and $19.80, could challenge the bearish bias for the metal.

Alternatively, sustained trading beyond the aforementioned resistance line, close to $21.15 at the latest, could tease the XAG/USD buyers.

Even so, October’s peak and 23.6% Fibonacci retracement level of the metal’s upside between October and November, near $21.30, could challenge the silver bulls before directing them to the monthly high of $22.25.

Silver: Four-hour chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price 21.08
Today Daily Change 0.22
Today Daily Change % 1.05%
Today daily open 20.86
 
Trends
Daily SMA20 20.52
Daily SMA50 19.8
Daily SMA100 19.52
Daily SMA200 21.42
 
Levels
Previous Daily High 21.02
Previous Daily Low 20.58
Previous Weekly High 22.25
Previous Weekly Low 20.75
Previous Monthly High 21.24
Previous Monthly Low 18.09
Daily Fibonacci 38.2% 20.75
Daily Fibonacci 61.8% 20.85
Daily Pivot Point S1 20.63
Daily Pivot Point S2 20.39
Daily Pivot Point S3 20.19
Daily Pivot Point R1 21.06
Daily Pivot Point R2 21.25
Daily Pivot Point R3 21.49

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD retreats below 1.0450 as Lagarde testifies

EUR/USD retreats below 1.0450 as Lagarde testifies

EUR/USD has lost its bullish momentum and retreated below 1.0450. ECB President Lagarde reiterated that interest rates will remain the main tool to fight inflation. Meanwhile, the risk-averse market environment helps the US Dollar find demand and limits the pair's upside.

EUR/USD News

GBP/USD turns negative on the day near 1.2050

GBP/USD turns negative on the day near 1.2050

GBP/USD reversed its direction and broke below 1.2100 in the second half of the day on Monday. With safe-haven flows dominating the financial markets in the early American session, the pair stays under bearish pressure and trades in negative territory near 1.2050. 

GBPUSD News

Gold drops toward $1,750 as US Dollar rebounds

Gold drops toward $1,750 as US Dollar rebounds

Gold price has turned south and dropped to the $1,750 area after having climbed above $1,760 earlier in the day. The US Dollar is benefiting from the souring market mood in the early American session, forcing XAU/USD to continue to stretch lower.

Gold News

Bitcoin price tanks as covid protests erupt in China, pushing investors into risk-off mode

Bitcoin price tanks as covid protests erupt in China, pushing investors into risk-off mode

Bitcoin price saw a sudden sell-off on November 28 after a consolidative weekend. This bearish outlook comes as major protests erupt in China due to covid restrictions. Investors seem to be heading into a risk-off mode.

Read more

All eyes on US inflation this week

All eyes on US inflation this week

It’s all about inflation this week, US inflation specifically. In order to see the significance of Thursday’s PCE print we need to see the context of the US inflation story.

Read more

Forex MAJORS

Cryptocurrencies

Signatures