Silver Price Analysis: XAG/USD stays depressed below $28.00 inside weekly rising wedge
- Silver fails to keep a seven-day-old trend line breakout inside a bearish chart pattern.
- Sluggish MACD, sustained trading beyond 200-SMA test bears.
Silver (XAG/USD) prices remain pressured, consolidating of late, around $27.70, during the early Asian session on Thursday. In doing so, the commodity remains inside the bearish chart formation, rising wedge, while faking the previous resistance line breakout.
The white metal pierced a downward sloping trend line from June 01 before reversing from $28.00. The pullback moves join the indecision condition of the MACD to keep sellers hopeful.
However, a clear downside break of the bearish formation’s support line, near $27.55, becomes necessary to recall the $27.00 threshold to the chart.
During the fall, 61.8% Fibonacci retracement of May 13-18 fall near $27.50, 200-SMA level of $27.36 and an ascending support line from May 13, close to $27.05, will entertain the silver bears.
Meanwhile, sustained trading beyond $28.00 will need to cross the stated wedge’s upper line, at $28.10 by the press time, to convince the silver buyers. Though, $28.20 and $28.35-40 could probe the quote’s further upside before directing the metal prices to May’s top near $28.75.
Silver four-hour chart
Trend: Further weakness expected
via FXStreet News https://ift.tt/3tYkUTd
June 9, 2021 at 03:48PM