Forex News

04:20:43 29-11-2022

Silver Price Analysis: XAG/USD bounces off 21-day EMA to regain $21.00

  • Silver price snaps three-day downtrend inside short-term triangle.
  • Bearish MACD signals keep sellers hopeful unless crossing $21.55 hurdle.
  • Convergence of five-week-old ascending trend line, 50% Fibonacci retracement level appears the key support.

Silver price (XAG/USD) renews its intraday high around $21.15 as buyers cheer the latest bounce off the 21-day Exponential Moving Average (EMA) during early Tuesday.

In doing so, the bright metal prints the first daily gains in four while staying inside a three-week-old symmetrical triangle formation, currently between $21.55 and $20.70.

That said, the bearish MACD signals keep the XAG/USD sellers hopeful but a downside break of the stated triangles support line near $20.70 becomes necessary to reject the latest recovery hopes.

Even so, a joins of the ascending trend line from October 20 and the 50% Fibonacci retracement level of the metals September-November upside, near $19.90, could challenge the Silver bears afterward.

In a case where Silver prices remain weak past $19.90, the odds of witnessing a slump toward the monthly low surrounding $18.85 cant be ruled out.

On the flip side, recovery moves need validation from the stated triangles upper line, close to $21.55.

Following that, the previous weekly high of around $21.70 and the monthly top of $22.25 will gain the Silver buyers attention before Junes peak of $22.51.

Overall, the Silver price may witness further upside but the room towards the north appears limited.

Silver price: Daily chart

Trend: Limited recovery expected

 

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