Silver Price Analysis: XAG/USD Recovers Modestly, Continues Below $30.50

• Silver prices are up 0.30%, trading at $30.35 after a sharp 3% drop.
• The technical outlook remains bullish, supported by the 50-day SMA at $30.16 and the RSI above the neutral line of 50.
• Key resistance at $30.50 and $31.00; support levels at the 50-day SMA and $29.48, with a critical psychological barrier at $29.00.

The price of the Silver The dollar rose at the start of the North American session but remained below the psychological mark of $30.50 after posting losses of more than 3% on Wednesday. Rising US Treasury yields and a stronger US dollar weighed on the precious metal, which is trading at $30.35 and posting gains of 0.30%.

Silver Price Analysis: Technical Outlook

The grey metal remains biased to the upside, capped on the downside by the 50-day moving average (SMA) at $30.16. The RSI remains above the neutral line of 50, indicating that momentum is favouring buyers; hence, further upside is anticipated.

For a bullish continuation, XAG/USD needs to surpass $30.50 for buyers to test the $31.00 mark. With further strength, Silver’s next resistance would be the July 17 high at $31.42, before testing the July 12 high at $31.75.

If the grey metal weakens further, the first support for the XAG/USD pair would be the 50-day SMA before testing the July 3 daily low at $29.48. A break of the latter will expose the psychological figure of $29.00.

Silver Price Action – Daily Chart