Silver Price Analysis: XAG/USD stays mildly offered near $23.00 inside weekly triangle
- Silver fades the previous day’s rebound, eases from intraday top.
- 20-SMA guards immediate upside, 100-SMA adds strength to the triangle’s support.
- Steady Momentum, key technical hurdles hint at further sideways grind of the metal.
Silver (XAG/USD) consolidates the previous day’s gains around $23.00, down 0.12% intraday, during Wednesday’s Asian session.
In doing so, the bright metal eases from 20-SMA while staying inside a one-week-old symmetrical triangle.
Given the steady Momentum line and continuation chart pattern, XAG/USD is likely to grind for the short term.
That said, the latest pullback from the 20-SMA can drag the quote towards $22.90 nearby support. However, a convergence of the stated triangle’s support line and 100-SMA, around $22.60, offers a tough nut to crack for the silver bears.
Alternatively, an upside clearance of the 20-SMA level of $23.06 will direct XAG/USD bulls towards the triangle’s resistance line of $23.25.
In a case where silver buyers keep reins past $23.25, highs marked on November 29 and December 28, around $23.45, will be crucial to watch.
Silver: Four-hour chart
Trend: Pullback 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.
