Silver Price Analysis: sellers in charge with XAG/USD down almost 1%, eye $23.50
- XAG/USD longer-term trend, tilted towards the downside.
- Early in the session reached as high as $23.94, retreated the move.
- Metals correct lower amid a stronger US dollar and a decline in equity prices.
Silver falls 0.85% on Tuesday, trades at $23.60 down 0.99%. Earlier in the day, XAG/USD peaked at $23.94. However, as American investors hit their desks, the white metal reversed its trend.
Silver technical outlook
The moving averages remain above the current price, well above 25.50, with the shorter time-frame below the longer time frame MA’s. This suggests that the trend is down. If sellers would like the trend to continue, they will need to challenge 23.50/60 support, followed by 23.00, then 22.00/22.20 (August 9 low). On the other hand, buyers will need to recover yesterday’s close at 23.84, followed by 24.61 then 25.00.
RSI is 35.36 headed towards oversold levels, while the Average True Range (ATR) is 69 trendless.
The 4-hour chart depicts that in the shorter time frame, Silver is developing strong support around the 23.00/50 price. The moving averages continue above the spot prices, leaning towards the downside with the 50-simple moving average approaching 23.61. The 100 and 200-SMA’s hoover around the 24.50/25.10 range is resistance. In regards to price action, buyers will need a break above 23.74, followed by a challenge of 24.00, then the 100-SMA at 24.50.
