Silver Price Analysis: XAG/USD rebounds, eyeing key resistance levels
- Silver prices have rebounded from Monday's four-day low of $23.25, printing gains of over 1.80%.
- XAG/USD maintains an upward bias, though it would require breaking above the November 17 high of $24.14 to solidify this trend.
- Silver’s drop below $23.50 might lead to a test of the 200-day moving average (DMA) at $23.29, and further down, the 50-DMA at $23.01.
Silver price erased Monday losses, which witnessed the grey metal dropping to a four-day low of $23.25, climbing more than 1.80%, and trading at around $23.90 a troy ounce at the time of writing.
Market sentiment shifted negatively as Wall Street traded with minuscule losses. The US 10-year Treasury bond yield is almost flat at 4.43%, though it has failed to cap Silver’s advance.
From a technical perspective, XAG/USD is still upward biased but it needs to climb above the November 17 high at $24.14, so it could further cement its bias. Once done, the next resistance would be the August 30 high at $25.00, followed by the July 20 swing high at $25.26.
On the other hand, if XAG/USD remains below $24.00, that would keep sellers hopeful of lower prices. If Silver drops below $23.50, that could pave the way to test the 200-day moving average (DMA) at $23.29, followed by the 50-DMA at $23.01. A breach of the latter would expose the 20-DMA at $22.69.
XAG/USD Price Analysis – Daily Chart
XAG/USD Technical Levels