Silver Price Analysis: XAG/USD sellers flirt with $21.00 inside weekly falling channel
- Silver pares Friday’s recovery moves from two-year lows.
- Bears cross on MACD, one-week-old descending trend channel keep sellers hopeful.
- 100-HMA adds to the upside filters, late 2019 high lures bears on breaking $20.00 support.
Silver (XAG/USD) remains on the back foot around the intraday low surrounding $21.00, fading the previous day’s recovery moves ahead of Monday’s European session.
In doing so, the bright metal justifies a bearish crossover on the MACD, as well as a one-week-long falling channel bearish chart formation.
That said, sellers await a clear downside break of the $21.00 before progressing towards the recent multi-month low, around $20.45.
However, the lower line of the aforementioned channel, near $20.25, will precede the $20.00 psychological magnet to challenge the XAG/USD’s short-term downside.
In a case where silver bears keep reins past $20.00, a late 2019 high surrounding $19.60 will be in focus.
Alternatively, the upper line of the stated falling channel and the 100-HMA, respectively near $21.20 and $21.30, guard short-term recovery moves of the bullion.
Following that, XAG/USD bulls may approach the $22.00 and the monthly high around $23.30.
To sum up, silver prices remain pressured around a multi-month low despite the previous day’s corrective pullback.
Silver: Hourly chart
Trend: Further weakness 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.
