- Silver price struggles to maintain momentum, hovering around the 100-day SMA at $30.34 with a bearish bias.
- A possible further decline could lead silver to test key supports at $30.00 and the 200-day SMA at $28.63.
- A rebound above $31.00 could challenge higher resistances, targeting the 50-day SMA at $31.51 and beyond.
Silver price fell more than 0.70% below $30.30 after strong US retail sales data suggested the Federal Reserve could gradually ease policy. At the time of writing, XAG/USD is trading at $30.21 after reaching a daily peak of $30.81.
XAG/USD Technical Outlook
Silver price remains contained around the 100-day SMA at $30.34. However, the medium-term bias is tilted to the downside, and once the bears push prices below the August 26 high-turned-support at $30.18, they will test the psychological level of $30.00. A break of the latter will expose the 200-day SMA at $28.63, followed by the September 6 low at $27.69.
If Silver rises back above $31.00, this could pave the way to challenge the 50-day SMA at $31.51. Once overcome, the next resistance for XAG/USD would be $32.00.
Oscillators like the Relative Strength Index (RSI) suggest that further decline is expected for XAG/USD as the RSI remains close to being oversold.
XAG/USD Daily Chart
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.
