Silver Price Analysis: Rising wedge confirmation directs XAG/USD sellers toward $24.00, US NFP eyed
- Silver Price remains sidelined after confirming one-week-old rising wedge bearish chart pattern.
- Cautious mood ahead of US NFP prods XAG/USD bears on their way to key SMA supports.
- Multiple upside hurdles to test Silver below $25.30 key resistance.
Silver Price (XAG/USD) remains on the back foot around $24.40 despite lacking downside momentum amid the early hours of Friday’s trading. In doing so, the bright metal portrays the market’s cautious mood ahead of the US employment report for August, including the headline Nonfarm Payrolls (NFP).
However, bearish MACD signals and the downbeat RSI (14) line, not overbought, join the confirmation of a one-week-old rising wedge bearish chart formation to keep the XAG/USD sellers hopeful.
With this, the Silver sellers appear well set to drop towards the 50-SMA level of around $24.15, a break of which could direct the XAG/USD toward the 200-SMA support of around $23.85.
It’s worth noting that the XAG/USD weakness past $23.85 will highlight the 38.2% Fibonacci retracement of the July-August downside, near $23.40, ahead of directing the sellers toward the mid-August swing high of around $23.00.
On the flip side, the Silver Price remains on the back foot unless defying the rising wedge chart formation, by crossing the stated wedge’s upper line near $25.05.
Even so, the tops marked during late July and the previous monthly high, respectively near $25.15 and $25.30, will act as the final defense of the Silver bears.
Silver Price: Four-hour chart
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Trend: Further downside 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.
