- Silver fails to capitalize on the bullish momentum from the previous day on Friday.
- XAG / USD has remained under pressure below the 21-day SMA since September 16.
- Prices hover in the short-term trading range of $ 22.00 and $ 23.00.
The price of silver (XAG / USD) remains poised to end the week on a lower note. Prices opened higher but failed to maintain momentum. As of this writing, XAG / USD is trading at $ 22.03, down 0.61% for the day.
XAG / USD Daily Chart
XAG / USD Monthly Chart
On the daily chart, the white metal has experienced continued selling pressure since the September 3 high of $ 24.86, which also coincides with the breakout of the 50-day Simple Moving Average (SMA) at $ 24.87 . Now, if prices hold below the intraday session low, the downward price movement would continue with yesterday’s low of $ 21.42. XAG / USD may further test July 2020 lows of $ 17.76.
Alternatively, the Moving Average Convergence Divergence (MACD) indicator reads in the oversold zone with stretched selling conditions. Any rise in the MACD would cause bulls to hope for the horizontal resistance level of $ 22.50 followed by the psychological bar of $ 23.00.
Additionally, a daily close above the 20 day SMA and the bearish slope line of the mentioned level would strengthen the outlook for XAG / USD bulls to touch the horizontal resistance level of $ 23.50.
XAG / USD additional levels