Silver Price Analysis: XAG/USD needs $24.05 breakout to keep buyers hopeful
|
- Silver stays mildly bid above 50-SMA, weekly support line.
- Strong RSI, sustained recovery from yearly low favor buyers.
- 13-day-old horizontal area, 200-SMA challenge further upside, ascending trend line from August 06 adds to the downside filters.
Silver (XAG/USD) flirts with an intraday top of $23.87, up 0.10% on a day, during Thursday’s Asian session. In doing so, the bright metal wobbles around the weekly top, not to forget its battle with a horizontal area comprising multiple highs marked since August 09.
Given the strong RSI line, not overbought, coupled with the commodity’s successful trading above 50-SMA and a rising trend line from the last Friday, silver prices are likely to remain firm.
However, a clear upside break of the stated immediate hurdle surrounding $23.95–$24.05 becomes necessary for the buyers to keep reins.
Following that, the 200-SMA level of $24.65 and the $25.30 may entertain the traders ahead of directing them to the monthly peak surrounding $26.00.
Alternatively, the stated weekly support line near $23.70 and 50-SMA level of $23.55 can challenge silver’s pullback moves.
Though, the bears are less likely to be convinced until witnessing a clear downside break of a three-week-old rising support line, around $23.10.
Silver: Four-hour chart
Trend: Further upside expected
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.