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Silver Price Analysis: XAG/USD bulls brace for a bumpy road past $24.00

  • Silver price seesaws around intraday top after bouncing off three-week low.
  • 100-SMA breakout joins bullish MACD signals to favor XAG/USD buyers.
  • One-week-old descending resistance line, horizontal area from December 21 challenge Silver bulls.

Silver price (XAG/USD) remains firmer around the intraday high of $24.04 as bulls keep the reins during early Monday. In doing so, the bright metal extends Friday’s U-turn from the lowest levels in two weeks.

That said, the bullion’s successful upside break of the 100-SMA joins the bullish MACD signals to underpin the latest recovery moves.

It should be noted, however, that multiple hurdles stand tall to challenge the XAG/USD bulls and hence the buyers remain skeptical at the moment.

Among the key resistances, a downward-sloping trend line from the last Tuesday, close to $24.20 by the press time, guards the quote’s immediate upside.

Following that, a horizontal area comprising multiple hurdle marked in the last 13 days, around $21.40, challenges the Silver buyers.

In a case where the XAG/USD remains firmer past $21.40, the monthly high around $21.55, also the highest level since late April 2022, will be crucial to watch.

Alternatively, Silver sellers may wait for a clear downside break of the 100-SMA, around $23.70 at the latest, before taking fresh positions.

Following that, the latest swing low and the 61.8% Fibonacci retracement level of the metal’s upside from December 06 2022 to January 03 2023, close to $23.10 and $23.00 in that order, could gain the market’s attention.

Silver price: Four-hour chart

Trend: Further upside expected