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Silver (XAG/USD) ticks higher during the Asian session on Tuesday, though it lacks bullish conviction and seems vulnerable to extending the previous day’s retracement slide from the vicinity of a four-week top. The white metal currently trades around the $29.65 region, up 0.15% for the day. From a technical perspective, Monday’s failure near the 100-day Exponential Moving Average (EMA) suggests that the recent recovery from the $28.80-$28.75 region has run out of steam and validates the negative outlook. That said, mixed oscillators on the daily chart warrant some caution before placing fresh bearish bets around the XAG/USD and positioning for deeper losses.In the meantime, the $30.00 psychological mark now seems to act as an immediate hurdle ahead of the $30.50-$30.55 region (100-day EMA). A sustained move beyond the latter might shift the near-term bias in favor of bullish traders and lift the XAG/USD beyond an intermediate resistance near the $31.00 round figure, towards the next relevant barrier near the $31.35-$31.40 zone. On the flip side, weakness below the mid-$29.00s will reaffirm the bearish outlook and make the XAG/USD vulnerable to retest the $29.00 mark before eventually dropping to the $28.80-$28.70 region, or a three-month low touched in December. The downward trajectory could extend further towards the $28.45-$28.40 area en route to the $28.00 mark and the $27.70-$27.65 support.
XAG/USD daily chart
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