Silver Price Analysis: XAG/USD fades recovery moves to monthly resistance line above $27.00

• Silver eases from two-day high, keeps downside break of three-week-old support line.
• MACD eases bearish bias, sustained trading beyond 200-SMA suggests further recovery.

Silver prices ease from a two-day high to $27.38 during Thursday’s Asian session. In doing so, the white metal fizzles the upside momentum targeting a descending resistance line stretched from February 01.

While sustained trading beyond 200-bar SMA joins receding bearish bias of the MACD to favor silver bulls, the commodity’s trading below the previous support line from January 27 keeps the sellers hopeful.

As a result, the current recovery moves can extend towards the immediate resistance line near $27.60 but the further upside depends upon how well it can break the hurdle, also cross a three-week-old resistance line, at $27.80 now.

It should be noted that the weekly high of $27.95 and the $28.00 round-figure add filters to the quote’s run-up beyond $27.80 while targeting the month’s peak surrounding $30.00.

Alternatively, one-week-old horizontal support around $26.80 restricts the metal’s short-term downside ahead of the 200-bar SMA level close to $26.40.

If at all the silver bears break $26.40 support, the monthly low near $25.90 will test the bears afterward.

Silver four-hour chart

Trend: Further recovery expected