Silver Price Analysis: XAG/USD drops to $21.50 on ascending triangle breakdown
FXStreet · 20 Jun 2022 3.3K Views
  • Silver extends Friday’s losses by breaking immediate bullish triangle.
  • RSI conditions, 100-HMA probe the further downside, weekly horizontal support also challenges bears.
  • Bulls need a clear break of $22.51 to retake control.

Silver (XAG/USD) remains on the back foot for the second consecutive day, down 0.75% around the intraday low of $21.47, as bears cheer a technical breakout during early Monday. Also keeping sellers hopeful is the broad US dollar strength and the bright metal’s failure to cross the $22.00 hurdle.

However, the nearly oversold RSI conditions and the 100-HMA restrict immediate declines of the XAG/USD to around $21.50. Also acting as a downside filter is the one-week-old horizontal support near $21.35.

Should the quote drop below $21.35, the odds of witnessing a fresh monthly low, currently around $20.90, can’t be ruled out. The same highlights the yearly bottom marked in May, close to $20.45.

Meanwhile, the silver buyer’s return needs a clear upside break of the $22.00 hurdle. Though, the 200-HMA level of $21.65 and the aforementioned triangle’s lower line around $21.80 may restrict the immediate recovery of the metal.

In a case where the commodity prices rise beyond $22.00, the $22.30 and a monthly high of $22.51 may rest the XAG/USD bulls before giving them control.

Silver: Hourly chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price 21.49
Today Daily Change -0.18
Today Daily Change % -0.83%
Today daily open 21.67
Trends
Daily SMA20 21.85
Daily SMA50 22.66
Daily SMA100 23.53
Daily SMA200 23.38
Levels
Previous Daily High 21.96
Previous Daily Low 21.58
Previous Weekly High 22.02
Previous Weekly Low 20.9
Previous Monthly High 23.28
Previous Monthly Low 20.46
Daily Fibonacci 38.2% 21.73
Daily Fibonacci 61.8% 21.82
Daily Pivot Point S1 21.51
Daily Pivot Point S2 21.35
Daily Pivot Point S3 21.13
Daily Pivot Point R1 21.89
Daily Pivot Point R2 22.12
Daily Pivot Point R3 22.28

Affected Trading Instrument

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