Silver Price Analysis: XAG/USD renews three-month low under $23.00, RSI probes further downside


  • Silver prices remain pressured for the eight consecutive days.
  • Weekly support line and 138.2% Fibonacci retracement join oversold RSI conditions to test bears.
  • Recovery moves remain elusive until the quote stays below $24.15.

Silver (XAG/USD) drops to the lowest levels since late February as it portrays the eight-day downtrend during Monday’s Asian session. That said, the bright metal prints 0.55% intraday losses as bears attack the $22.65-60 support zone at the latest.

A clear downside break of an ascending trend line from February 24 triggered the bright metals south-run during late April. The downside momentum also gained support from the sustained trading below the 200-SMA. However, oversold RSI conditions have triggered intermediate bounces of the XAG/USD.

The bullion’s latest weakness is also prone to a corrective pullback as RSI (14) turns down to 30.00. Also challenging the bears is the convergence of the 138.2% Fibonacci retracement of February 24 to March 08 upside and a one-week-old descending trend line near $22.65-60.

Even so, the recovery moves remain elusive until crossing the previous support line from late February, around $24.15 by the press time.

On an immediate basis, a downward sloping resistance line from April 18, close to $23.40 at the latest, can test the short-term rebound.

Alternatively, a downside break of the $22.60 will make the silver price vulnerable to testing the 161.8% Fibonacci retracement level surrounding $21.95.

Silver: Four-hour chart

Trend: Corrective pullback expected

Additional important levels

Overview
Today last price 22.67
Today Daily Change -0.12
Today Daily Change % -0.53%
Today daily open 22.79
 
Trends
Daily SMA20 24.53
Daily SMA50 24.84
Daily SMA100 23.91
Daily SMA200 23.8
 
Levels
Previous Daily High 23.56
Previous Daily Low 22.68
Previous Weekly High 24.18
Previous Weekly Low 22.68
Previous Monthly High 26.22
Previous Monthly Low 22.68
Daily Fibonacci 38.2% 23.02
Daily Fibonacci 61.8% 23.23
Daily Pivot Point S1 22.46
Daily Pivot Point S2 22.13
Daily Pivot Point S3 21.58
Daily Pivot Point R1 23.34
Daily Pivot Point R2 23.9
Daily Pivot Point R3 24.23

 

 

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