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Silver retreated from the two-day high of $32.00 on Friday and tumbled below the 50-day Simple Moving Average (SMA) at $31.37 late in the North American session. This was weighed down by a strong US dollar underpinned by former President Donald Trump’s victory. At the time of writing, the XAG/USD was seen trading at around $31.29, down approximately 2.29%.
XAG/USD Price Forecast: Technical Outlook
Silver’s price uptrend remained in play despite posting solid losses. The fall of US Treasury yields kept the grey metal from falling further, but a decisive break below the Nov. 6 low of $30.84 could exacerbate a deeper pullback. In that outcome, the next support would be the 100-day SMA at $30.27, followed by the Sept. 5 high turned support at the $29.17 level.For a bullish resumption, the XAG/USD currency cross must close above the $31.50 area in the coming days. This could pave the way to challenge the July 11 high at the $31.75 mark. A breach of the latter would expose the $32.00 figure, followed by May’s 20 peak at $32.51.Momentum appears to be bearish in the near-term, as shown by the Relative Strength Index (RSI), which breached its neutral line into the seller’s area.
XAG/USD Daily Price Chart
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