- Silver attracted some dip-buying near 100-hour SMA on Monday.
- The intraday technical setup supports prospects for further gains.
- Bearish oscillators on the daily chart warrant some caution for bulls.
Silver found a decent support near 100-hour SMA support and managed to reverse an intraday slide to the $23.45-40 region. The commodity was last seen trading near the top end of its daily trading range, around the $23.70-75 area.
The emergence of some dip-buying comes on the back of Friday's move beyond the 23.6% Fibonacci level of the $25.92-$22.17 sharp fall. This, in turn, favours bullish traders and supports prospects for additional intraday gains. The positive outlook is reinforced by the fact that technical indicators on the hourly charts chart have been gaining positive traction. That said, oscillators on the daily chart are still holding deep in the bearish territory.
Hence, any subsequent move up is more likely to confront stiff resistance near the 38.2% Fibo. level, around the $24.00 mark. A move beyond will be seen as a fresh trigger for bulls and pave the way for a further appreciating move. The XAG/USD might then surpass an intermediate resistance near the $24.35-40 horizontal zone and test the next relevant hurdle marked by the 61.8% Fibo. level, around the $24.55-60 region.
On the flip side, the $23.45-40 area might continue to protect the immediate downside. A convincing break below might prompt some technical selling and turn the XAG/USD vulnerable to challenge YTD lows, around the 22.20 region.
Silver 1-hour chart
Technical levels to watch
|Today last price||23.72|
|Today Daily Change||-0.04|
|Today Daily Change %||-0.17|
|Today daily open||23.76|
|Previous Daily High||23.83|
|Previous Daily Low||23.17|
|Previous Weekly High||24.37|
|Previous Weekly Low||22.17|
|Previous Monthly High||26.78|
|Previous Monthly Low||24.5|
|Daily Fibonacci 38.2%||23.58|
|Daily Fibonacci 61.8%||23.42|
|Daily Pivot Point S1||23.34|
|Daily Pivot Point S2||22.92|
|Daily Pivot Point S3||22.68|
|Daily Pivot Point R1||24|
|Daily Pivot Point R2||24.25|
|Daily Pivot Point R3||24.66|
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.