Silver Price Analysis: XAG/USD drops to three-week lows below $25.00, heading for a pullback
- XAG/USD breaks below the $25.00-$25.50 range, though a daily close could pave the way for further downside.
- XAG/USD Price Analysis: Oscillators suggest that sellers are regaining control; therefore, a fall toward $24.00 is likely.
Silver price slides beneath the $25.00 figure after printing a daily high earlier at around $25.36. Though flows toward the US Dollar (USD) exacerbated a fall toward the 20-day Exponential Moving Average (EMA) at around current prices. At the time of writing, the XAG/USD is trading at $24.86.
XAG/USD Price Action
The XAG/USD remains upward biased due to solid support at the 20-day EMA at $24.65. After piercing the latter, the XAG/USD jumped towards the $24.70s area, though oscillators tell a different story. The Relative Strength Index (RSI) aims downward, approaching the 50-mid line, which, once crossed, would indicate that sellers regained control. Also, the Rate of Change (RoC) shows that selling pressure has increased in the last three days. Hence, the XAG/USD is set for a pullback before resuming its uptrend.
The XAG/USD’s next support would be the April 25 daily low at $24.49. A breach of the latter will expose the psychological $24.00 level. Once cleared, the 50-day EMA at $23.69 would be tested, with the 100-day EMA up at $22.97.
Conversely, if XAG/USD cracks and achieves a daily close above $25.00, traders could expect further consolidation between $25.00-$25.50, as it has happened during the last four trading days.
XAG/USD Daily Chart
