Silver Price Analysis: XAG/USD bulls step back from 100-DMA

FX
  • Silver eases from key SMA, keeps late Friday’s pullback from seven-week top.
  • Bullish candlestick formation, MACD conditions keep buyers hopeful.
  • September’s high add to the upside filters, fortnight-old support line probe sellers.

Silver (XAG/USD) stays mildly bid around $24.35 during early Monday.

The bright metal refreshed multi-day high the previous day before reversing from $24.82. In doing so, the quote potrayed a bullish candlestick, namely inverted hammer on the daily chart.

The bullish MACD signals and a fortnight-long support line also favor the XAG/USD bulls. However, 100-DMA near $24.55 guards the quote’s immediate upside.

Additionally challenging the silver buyers is a horizontal area comprising highs marked since early September, near $24.85.

In a case where the metal prices rally beyond $24.85, the $25.00 threshold may challenge the bulls ahead of directing them to the August month’s high of $26.00

On the flip side, a daily closing below an ascending support lien from October 12, around $23.85, becomes necessary for silver sellers to take entries.

Following that, mid-October high near $23.60 and a nine-week-old horizontal support, close to $22.90, will be in focus.

Silver: Daily chart

Trend: Further upside expected

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