Silver Price Analysis: XAG/USD rebounds from 7-week high and breaks $22.00 level again

• Silver prices recover and are trading around $22.32 per ounce, which represents an advance of 0.27% after hitting five-week lows at $21.88.
• Technical analysis reveals a neutral bearish bias, but the formation of a “hammer” pattern on the daily chart suggests possible bullish momentum.
• For a bullish turn, silver needs to break above the 50-day moving average (DMA) at $22.65, aiming for the 200-DMA at $23.25 and the October 20 high at $23.69.

The price of the Silver finds its footing and rises after hitting five-week lows at $21.88 on Monday, and exchanges hands around $22.32 a troy ounce, late in the North American session, printing gains of 0.27%, at the time of writing lines.

From a technical point of view, the gray metal has a neutral to bearish bias, but the daily chart shows that the price action is forming a “hammer”, which is usually a bullish signal, after recording a series of seven consecutive days with lower highs and lower lows, which ended on Monday.

Therefore, for XAG/USD to turn bullish, buyers must initially reclaim the 50-day moving average (DMA) at $22.65. A break of the latter would expose the 200-DMA at $23.25, followed by the October 20 last cycle high at $23.69. Once surpassed, a bullish resumption would occur.

On the other hand, a drop below the October 13 low at $21.87 would solidify a bearish case, with the next target for sellers being the October 4 swing low at $20.69, followed by the year-to-date low at $19.90. $.

XAG/USD Price Analysis – Daily Chart

XAG/USD Technical Levels