• Silver is steady seesawing around $23.75, waiting for a catalyst.
  • Mixed market sentiment, but slightly downbeat, triggered by the Chinese economy’s deceleration.
  • XAG/USD daily and hourly charts support a bearish bias in the white metal.

Earlier in the New York session, XAG/USD reached a high of $23.91 but, as the New York stock market opened, the white metal retreated the move trading at $23.79 down a decent 0.27% at the time of writing.

The market sentiment remains mixed but slightly downbeat. During the Asian session, data showed that the Chinese economy keeps slowing down. China’s Retail Sales edged higher by 2.5% versus 7% forecasted by analysts. It was a huge miss caused by lockdown measures implemented in the country amid a Delta variant outbreak. Additionally, major European stock indices finished with losses in line with Asian markets, weighed by Chinese data, while three out of four US stock indexes post gains between 0.37% and 0.40%. 

Technical outlook

Daily chart

XAG/USD is still trading beneath the bottom-trendline of a bearish flag, keeping the downtrend intact. Moreover, the daily moving averages are above the spot price, putting a lid around $24.00. Nevertheless, silver has been trading within the $23.37-96 range in the last three sessions. A daily break below $23.37 will open the door for further losses, towards 2021 low, around $22.10.  

The Relative Strength Index is at 44.03 heading lower, supporting the downtrend.

1-hour chart

Zooming into the 1-hour chart, XAG/USD is trading between the 100 and the 50-simple moving average (SMA), lying at $23.84 and $23.76, respectively. The longer one, the 200-SMA is up at $24.10, confirming the bearish bias. A break below $23.66 could push the prices towards the September 13 lows around $23.37. A sustained break of that support level will pave the way towards August 20 swing lows around $22.87.

On the flip side, a break above the 100-SMA will push the price towards a key resistance area around $24.00 topped by the 200-SMA at $24.10.

The Relative Strength Index is around 46.94 heading lower, supporting the downward bias.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD extends sideways grind around 1.1650 after mixed US data

EUR/USD is struggling to find direction on Thursday and continues to fluctuate in a relatively tight range around mid-1.1600s. Mixed data releases from the US don't seem to be having a noticeable impact on the greenback's performance against its major rivals.


GBP/USD struggles to pull away from 1.3800

GBP/USD retraced a portion of Wednesday's during the European trading hours pressured by the renewed USD strength and the souring market mood. With the latest US data failing to trigger a reaction, the pair stays in a consolidation phase near 1.3800.


XAU/USD struggles for direction, flat-lined above $1,780 level

The risk-off impulse in the markets extended some support to the safe-haven gold. Elevated US bond yields, a modest USD strength capped the upside for the metal. Bulls need to wait for a move beyond the $1,800 mark before placing fresh bets.

Gold News

Buying Solana now to gain 700% profits by 2022

Solana price has been on a massive run-up in 2021 from $1 to $216 in roughly eight months. This stellar climb is likely to continue into 2022 as significant bullish signs emerge. Moreover, the start of a new bull run will serve as a tailwind for SOL.

Read more

Netflix: Three reasons to sell NFLX after earnings

NFLX has been strong into earnings as investors digested the massive success of Squid Game and hoped this would feed through into very strong subscriber numbers. Netflix was out straight after the bell with earnings.

Read more