Silver Price Forecast: XAG/USD recovery remains elusive below $25.20
- Silver prices struggle to extend the bounce off two-week low.
- 100-SMA, previous support line from early February and weekly resistance line highlight $25.20 as the key hurdle.
- 50% Fibonacci retracement level, 200-SMA adds to the downside filters.
Silver (XAG/USD) prices fail to carry the bounce off a fortnight low, taking rounds to $25.00 during the initial Asian session on Thursday.
The bright metal’s rebound from the 50% Fibonacci retracement (Fibo.) of February-March upside, near $24.45, fades near the $25.20 resistance confluence, including the 100-SMA, a three-week-old support-turned-resistance and descending trend line from the previous Tuesday.
It should be noted, however, that the rebound in MACD signals keeps XAG/USD buyers hopeful to overcome the key hurdle to the north.
Following that, a run-up towards the $26.00 threshold and the monthly high of $26.95 becomes imminent.
However, silver’s upside past $26.95 depends upon how well it can stay beyond the $27.00 threshold.
Alternatively, pullback moves may retest the 50% Fibo. level of $24.45 before the 200-SMA, around $24.20, restricts XAG/USD downside.
Also acting as a short-term downside filter is the mid-February’s high near the $24.00 round figure and the 61.8% Fibonacci retracement level of $23.88.
Silver: Four-hour chart
Trend: Further recovery 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.
