- Silver attracts some buying on Tuesday and remains above the 38.2% Fibonacci support.
- The situation favors the bears and supports the prospects of a possible break down.
- Sustained strength above the 50-day SMA is needed to negate the bearish outlook.
Silver (XAG/USD) regains some positive traction on Tuesday and holds on to its modest intraday gains, just below $22.50 at the start of the European session. The white metal, however, lacks bullish conviction and remains very close to the nearly two-month low hit on Monday.
On a bigger picture, XAG/USD last week confirmed a bearish break through support at the low of a multi-week trading range near the $23.00-$22.90 zone. On the other hand, bearish technical indicators on the daily chart support the prospects of an extension of the recent sharp pullback from the highest since April 2022 hit last Thursday.
XAG/USD, however, manages to hold above the $22.15 support zone, or the 23.6% Fibonacci retracement of the recent rally from October 2022, which should act as a support point. Selling below the $22.00 level will reaffirm the downtrend and drag the white metal to the next relevant support near the 100-day SMA, around the $21.60-$21.55 area.
On the flip side, any meaningful recovery is likely to be hit by a hurdle near the aforementioned support breakout point, around the $23.00-$22.90 region. It is closely followed by the 50-day SMA, currently hovering around the $23.30-$23.35 zone. Sustained strength above this region will negate the short-term bearish outlook for XAG/USD.
The momentum could then allow the bulls to recapture the round $24.00 level. XAG/USD could rally back to the $24.55-$24.60 resistance zone on its way to the psychological $25.00 level for the first time since April 2022 and the next relevant hurdle near the $25.35 region.
silver daily chart
Silver additional technical levels
XAG/USD
Overview | |
---|---|
Last price today | 22.43 |
daily change today | 0.17 |
today’s daily variation | 0.76 |
today’s daily opening | 22.26 |
Trends | |
---|---|
daily SMA20 | 23.62 |
daily SMA50 | 23.45 |
daily SMA100 | 21.72 |
daily SMA200 | 21.01 |
levels | |
---|---|
previous daily high | 22.62 |
previous daily low | 22.15 |
Previous Weekly High | 24.64 |
previous weekly low | 22.29 |
Previous Monthly High | 24.55 |
Previous monthly minimum | 22.76 |
Fibonacci daily 38.2 | 22.33 |
Fibonacci 61.8% daily | 22.44 |
Daily Pivot Point S1 | 22.06 |
Daily Pivot Point S2 | 21.87 |
Daily Pivot Point S3 | 21.59 |
Daily Pivot Point R1 | 22.53 |
Daily Pivot Point R2 | 22.81 |
Daily Pivot Point R3 | 23 |
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Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.