Silver Price Analysis: XAG/USD retreats towards 50-DMA support below $24.00
- Silver price fades the previous week’s bounce off 50-DMA, stays depressed around intraday low.
- Bearish Doji, downbeat MACD signals keep silver sellers hopeful.
- XAG/USD moves remain sidelined inside five-week-old horizontal region.
Silver price (XAG/USD) holds lower ground near $23.60 as the metal traders brace for a busy week during early Monday. In doing so, the bright metal remains inside a five-week-old horizontal trading region between $24.40 and $23.10.
It’s worth noting, however, that Thursday’s bearish Doji candlestick joins bearish MACD signals to weigh on the Silver prices.
Even so, the 50-DMA and the stated horizontal region’s support, respectively near $23.25 and $23.10, restrict short-term XAG/USD downside.
In a case where the Silver price remains weaker past $23.10, and also breaks the $23.00 round figure, the 50% and 61.8% Fibonacci retracement level of the commodity’s November 2022 to early January 2023 upside, close to $22.55 and $22.10 in that order, will be important challenges for the XAG/USD bears to tackle.
Alternatively, the $24.00 round figure could test the immediate upside of the XAG/USD ahead of directing the Silver buyers towards the stated trading range’s upper boundary, close to $24.40.
Following that, the monthly high surrounding $24.55 could act as an extra filter towards the north ahead of fueling the XAG/USD towards the April 2022 top near $26.25.
Overall, the Silver price remains bearish unless crossing $24.40. However, the downside room appears limited.
Silver price: Daily chart
Trend: Further weakness expected