Silver Price Analysis: XAG/USD shows resistance again and bounces from the 200 hourly SMA

• The silver price continues its intraday rally during the European session on Thursday.
• The intraday technical setup supports the prospects for a further short-term bullish move.
• A convincing break below the 200 hourly SMA is needed to undo the uptrend.

Silver (XAG/USD) regains positive traction on Thursday and stops the previous day’s pullback from three-week highs levels just above the $24.00 level. The white metal continues its intraday rise during the European session and reaches a new daily high around $23.65 in the last hour.

From a technical point of view, XAG/USD has, thus far, shown resistance below the 200 hourly SMA, which is currently near the $23.45 region and should act as a pivotal point for bulls. intraday traders. A convincing break and acceptance below that level would pave the way for a slide to test the $23.00 round level. The downside trajectory could extend further towards the next relevant support near the $22.70-$22.65 region, above a two-month low hit in May.

Meanwhile, hourly oscillators have regained positive traction and support prospects for further intraday gains, although neutral technical indicators on the daily chart could cap any significant upside. Therefore, any further move higher could continue to be met with stiff resistance and remain capped near the $24.00 level. That being said, sustained strength above that region could lift XAG/USD beyond the $24.25-$24.30 zone and allow bulls to recapture the psychological $25.00 level.

Some continuation buying will suggest that the recent pullback from the more than a year highs reached in May is over and pave the way for another short-term move higher. The next major hurdle lies near the $24.35-$24.40 zone, above which XAG/USD is likely to make another attempt to conquer the $26.00 round level.

Silver 1 hour chart

Silver additional technical levels