Silver Price Analysis: XAG/USD remains confined in a range near $25.00 mark

Silver lacked any firm directional bias and oscillated in a range on the first day of a new week.
Last week’s failure near the 200-hour SMA suggests that the recent bounce has lost steam.
The mixed technical set-up warrants some caution before placing aggressive directional bets.

Haresh Menghani FXStreet

Silver seesawed between tepid gains/minor losses on Monday and remained confined in a narrow trading band, around the $25.00 psychological mark through the early North American session.

From a technical perspective, last week's goodish rebound from the $24.45 area faltered near the 200-hour SMA. The mentioned barrier, currently around the $25.35-$24.40 region, should act as a pivotal point and help determine the next leg of a directional move for the XAG/USD.

Sustained strength beyond the aforementioned barrier will be seen as a fresh trigger for bullish traders and set the stage for a further near-term appreciating move. The XAG/USD might then surpass an intermediate resistance near the $25.75-$25.80 and reclaim the $26.00 round figure.

The momentum could further get extended and push spot prices towards the next relevant hurdle near the $26.40 region en-route the $27.00 mark and mid-$27.00s. That said, neutral oscillators on daily/hourly charts warrant caution before placing aggressive bullish bets around the XAG/USD.

On the flip side, sustained weakness below the $24.85 area might protect the immediate downside ahead of the $24.45 area. Some follow-through selling would make the XAG/USD vulnerable and accelerate the slide towards testing the very important 200-day SMA support near the $24.00 mark.

Silver 1-hour chart

Technical levels to watch

XAG/USD

Overview
Today last price	25.08
Today Daily Change	0.09
Today Daily Change %	0.36
Today daily open	24.99

Trends
Daily SMA20	25.11
Daily SMA50	24
Daily SMA100	23.63
Daily SMA200	24

Levels
Previous Daily High	25.45
Previous Daily Low	24.84
Previous Weekly High	25.95
Previous Weekly Low	24.47
Previous Monthly High	25.62
Previous Monthly Low	22.01
Daily Fibonacci 38.2%	25.07
Daily Fibonacci 61.8%	25.22
Daily Pivot Point S1	24.73
Daily Pivot Point S2	24.48
Daily Pivot Point S3	24.12
Daily Pivot Point R1	25.35
Daily Pivot Point R2	25.71
Daily Pivot Point R3	25.97

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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