Silver Price Analysis: XAG/USD cuts some of its losses back above the 100-DMA
- XAG/USD reclaims the 100-day EMA at $23.47 after dipping to a daily low, showcasing a subtle comeback.
- Despite the recovery, the market remains neutral to downward biased as XAG/USD fails to reconquer the April 25 daily low.
- Technical indicators suggest a battle between sellers and incoming buyers, hinting at volatility in the XAG/USD market.
XAG/USD stages a comeback though it remains slightly below its opening price, reclaimed the 100-day Exponential Moving Average (EMA) at $23.47 after hitting a daily low of $23.25. At the time of writing, XAG/USD exchanges hands at $23.55, down 0.14%
XAG/USD Price Analysis: Technical outlook
From a daily chart perspective, the XAG/USD is neutral to downward biased, as price action has failed to reconquer the April 25 daily low of $24.49, which could pave the way for further upside. In addition, the Relative Strength Index (RSI) indicator at bearish territory suggests that sellers are in charge, while the 3-day Rate of Change (RoC) indicates that buyers are moving in, cushioning the XAG/USD’s fall.
For a bearish resumption, XAG/USD must fall below the 100-day EMA at $23.47 to force a downward move to the $23.00 figure. A breach of the latter will expose the 200-day Exponential Moving Average (EMA) at $22.86.
Conversely, if XAG/USD buyers reclaim the 20-day EMA at $23.76, a rally toward the $24.00 is on the cards. But on its way north lies the 50-day EMA at $23.89.