. Silver Price Remains Depressed Despite Brief Rise to 1-Year High - 11 April

Silver Price Remains Depressed Despite Brief Rise to 1-Year High – 11 April

Silver Price Remains Depressed Despite Brief Rise to 1-Year High – 11 April

11 Apr 2023

Analysis of the silver price: XAG/USD bulls lose pace; sellers need confirmation from $24.30.

  • After a gloomy week’s start, the price of silver remains depressed and grinds up to its highest levels in a year.
  • Bears are drawn in by overbought RSI situations and declining MACD bullish bias.
  • The ascending resistance line from late 2022 must be crossed to strengthen the bearish bias.
  • Multiple March support lines prevent further decline before exposing 100-DMA support.

Following a gloomy start to the week, silver price (XAG/USD) rises to $24.80-85 in the early hours of Tuesday’s Asian session. However, throughout the past week, the shiny metal has oscillated near its highest levels since late April 2022.

However, as of late, commodity buyers seem to be losing momentum as the RSI (14) crosses over into overbought territory and the MACD signals retreat inside the bullish zone.

The XAG/USD’s inability to pass an upward-sloping resistance line from late December 2022, which was close to $25.15 at press time, strengthens the downward bias.

However, the short-term decline in the price of silver is limited by two rising support lines from the previous month, which are located respectively near $24.65 and $24.30.

The precious metal’s decline towards the $21.80-75 support area, which is comprised of the 100-DMA and January’s low, cannot be ruled out after that.

The XAG/USD advance can now proceed towards the April 2022 peak of $26.22 with the clearance of the resistance line to the upside, near $25.15.

If Silver purchasers maintain control over $26.22, the previous annual high of roughly $26.95 and the round figure of $27.00 will catch the market’s eye.

Silver price: Daily chart