Silver Price Analysis: XAG/USD, rejected above $22.00, eases to $21.40 area


  • Silver's rally fails at $22.05 and retreats to $21,50.
  • The precious metal has reached an important resistance near $22.00.
  • With RSI at overbought levels, some consolidation is likely.

Silver prices’ uptrend from early November lows in the area of $19.00 have been halted on Friday at five-month highs of $22.05, before pulling back to the mid-range of $21.00. On the weekly chart, however, the pair is on track to post a nearly 5% rally.

The precious metal has reached an important resistance hurdle in the vicinity of $22.00, where the 50% Fibonacci retracement level of the April - September downtrend and the June 16, 17, and 21 highs are holding back the bulls.

Beyond that, the pair has reached overbought levels on hourly and daily charts, which suggest that some consolidation or even a moderate pullback is still consistent with the possibility of further appreciation.

On the upside, above the mentioned $22.00, the pair might target June 3 and 6 highs at $22.50 before aiming for the 61.8% retracement of the mentioned downtrend, at $23.00.

Bearish attempts are so far held above the 200-day MA, now at $21.45, with the next potential support levels at $20.95 (October 10 low) and $20.35 (November 7 low).

XAGUSD daily chart

XAGUSD daily chart

Technical levels to watch

XAG/USD

Overview
Today last price 21.61
Today Daily Change -0.07
Today Daily Change % -0.32
Today daily open 21.68
 
Trends
Daily SMA20 19.62
Daily SMA50 19.41
Daily SMA100 19.46
Daily SMA200 21.48
 
Levels
Previous Daily High 21.83
Previous Daily Low 20.96
Previous Weekly High 20.91
Previous Weekly Low 18.84
Previous Monthly High 21.24
Previous Monthly Low 18.09
Daily Fibonacci 38.2% 21.5
Daily Fibonacci 61.8% 21.29
Daily Pivot Point S1 21.15
Daily Pivot Point S2 20.62
Daily Pivot Point S3 20.28
Daily Pivot Point R1 22.02
Daily Pivot Point R2 22.36
Daily Pivot Point R3 22.9

 

 

 

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