Silver Price Analysis: XAG/USD’s further weakness hinges of $25.30 break
- Silver sellers attack 10-DMA inside rising wedge bearish chart pattern.
- Impending bear cross on the MACD also keeps sellers hopeful.
- Clear break of the wedge’s support line can direct the quote towards 200-DMA.
Silver (XAG/USD) prices remain on the back foot around $25.60 as bears attack the 10-DMA level during Monday’s mid-Asian session.
In doing so, the bright metal remains inside a two-month-old rising wedge bearish chart pattern.
Not only the 10-DMA level of $25.70 but the impending bear cross between the MACD line and the signal line also keep the XAG/USD sellers hopeful.
However, a daily closing below the stated wedge’s lower line, around $25.30 by the press time, will be necessary to direct silver bears towards the 200-DMA level surrounding $24.00.
Meanwhile, the corrective pullback will be initially challenged by the $26.00 and the latest multi-month high near $26.95.
Following that, an upward sloping trend line from January 20, forming part of the wedge around $27.30, will be in focus.
Silver: Daily 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.
