Silver Price Analysis: XAG/USD recovery remains elusive below $25.60
- Silver renews intraday high to consolidate Friday’s losses.
- 10-DMA, previous support from February restricts immediate upside.
- 50% Fibonacci retracement, 50-DMA restrict short-term declines amid steady RSI.
Silver (XAG/USD) regains $25.00 while printing 0.50% intraday upside during Monday’s Asian session.
In doing so, the bright metal pares the biggest weekly fall since January by extending the last week’s bounce off the 50% Fibonacci retracement (Fibo.) of February-March upside, around $24.45, amid steady RSI.
However, the 10-DMA and the support-turned-resistance line from February 10, respectively near $25.45 and $25.60, will challenge the short-term XAG/USD bulls.
Should the prices rally past $25.60, the silver buyers will initially aim for $26.10 before challenging the monthly high surrounding the $27.00 threshold.
Alternatively, pullback moves can drop back to the 50% Fibo. level near $24.45 before targeting the 50-DMA, around $24.00 by the press time.
It’s worth noting, however, that the quote’s weakness past $24.00 will be challenged by the $23.90-85 area comprising the 61.8% Fibonacci retracement and the late February’s low.
Overall, silver prices are likely to extend the latest rebound but the bulls will remain cautious below $25.60.
Silver: Daily chart
Trend: Pullback 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.
