Silver Price Analysis: XAG/USD cracks to new YTD high as bulls' eye $26.00
- Once XAG/USD reaches around $25.60, it could aim toward $26.00.
- XAG/USD could fall to $25.00 if a retracement below $25.13 occurs.
Silver price rose to fresh 12-month highs at around $25.66 after cracking the previous YTD high of $25.13, as inflation data from the United States (US) decelerated. Also, the latest FOMC meeting minutes provided clues that the Fed considered pausing its tightening cycle. Therefore, the USD Dollar weakened and bolstered the white metal. At the time of writing, the XAG/USD is trading at $25.47 as the Asian session begins.
XAG/USD Price Action
Following a brief period of consolidation, the XAG/USD broke the top of the range capped at $25.13 and rallied above $25.60. While the XAG/USD aims to test $26.00, it may consolidate between $25.45-$25.60 before reaching April 2022 high at $25.87. Subsequently, it could target the $26.00 figure. Contrarily, if XAG/USD retraces below $25.13, it would exacerbate a fall toward $25.00. Downside risks remain at an April 6 low of $24.63, followed by a dip toward the 20-day Exponential Moving Average (EMA) at $24.06.
Oscillators-wise, the Relative Strength Index (RSI) is in overbought territory, suggesting that Silver could consolidate or reverse its course before posing a threat to the $26.00 mark. Conversely, the Rate of Change (RoC) suggests buyers are losing momentum; therefore, a pullback is expected.
XAG/USD Daily Chart
XAG/USD Technical Levels