Silver Price Analysis: XAG/USD rebounds from two-month lows, lacks follow-through
- Silver battles $26 mark on the road to recovery.
- XAG/USD poised for deeper losses on a drop below $25.55.
- RSI recovers but still remains in the bearish zone. s
Silver price (XAG/USD) has quickly pulled back from fresh two-month lows of $25.55, now extending the break above the $26 mark.
The bulls appear to extend the recovery momentum, backed by the renewed uptick in the Relative Strength Index (RSI) on the four-hour chart.
The leading indicator has recovered from the oversold territory to currently trade at 35.35, offering some respite to the silver bulls.
The next relevant target for the buyers is seen at $26.50, the June 18 highs, which coincided with the downward-sloping 21-Simple Moving Average (SMA) on said time frame.
However, if the downside bias resumes, a retest of the two-month lows will be well on the cards.
Further south, the $25 round figure will be on the sellers’ radars.
Silver Price Chart: Four-hour chart
Silver Additional levels
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
