Silver Price Analysis: XAG/USD retreats as shooting star looms, sellers eye $28.00

Silver retreats from a three-week high reached at $28.74.
Momentum favors bulls in the medium term; but shooting star looming paves the way for a retracement.
Uptrend to resume with buyers clearing $28.74.

Christian Borjon Valencia FXStreet

Silver prices reversed on Friday amid high US Treasury yields and a stronger US Dollar. The grey metal slipped 0.48% and exchanges hands at around $28.19, at the time of writing.

XAG/USD Price Analysis: Technical outlook

From a technical perspective, Silver is still upward biased, though the formation of a ‘shooting star,’ can pave the way for a pullback. Even though momentum favors bulls, as depicted by the Relative Strength Index (RSI) with readings between 60-70, its slope aims downwards.

Therefore, XAG/USD is bearishly biased in the short term. However, sellers will face solid support levels, like the $28.00 psychological level. Once cleared, the non-yielding metal could dive toward the 38.20% Fib retracement at $27.70, confluence with the April 62 high.

On the other hand, a bullish resumption could occur, if buyers reclaim the current week high of $28.76, followed by the $29.00 mark. A breach of the latter and buyers could challenge the year-to-date (YTD) high at $29.79.

XAG/USD Price Action – Daily Chart

XAG/USD

Overview
Today last price	28.2
Today Daily Change	-0.13
Today Daily Change %	-0.46
Today daily open	28.33

Trends
Daily SMA20	27.5
Daily SMA50	26.17
Daily SMA100	24.59
Daily SMA200	23.89

Levels
Previous Daily High	28.34
Previous Daily Low	27.29
Previous Weekly High	27.44
Previous Weekly Low	26.02
Previous Monthly High	29.8
Previous Monthly Low	24.75
Daily Fibonacci 38.2%	27.94
Daily Fibonacci 61.8%	27.69
Daily Pivot Point S1	27.63
Daily Pivot Point S2	26.93
Daily Pivot Point S3	26.58
Daily Pivot Point R1	28.69
Daily Pivot Point R2	29.04
Daily Pivot Point R3	29.74

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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