Silver Price Analysis: XAG/USD dips below $23.00 on high US yields, as evening-star emerges

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  • Silver falls 1% influenced by surging US Treasury yields and Fed's resistance to a March rate cut.
  • Technical analysis shows XAG/USD with a neutral to downward bias; key support at $22.48, and $22.00.
  • Potential rebound above $23.00 could challenge the 100-day DMA at $23.23, with further targets at $23.58/66 and the $24.00 level.

Silver price slumps below $23.00 a troy ounce, down 1% on the day, as US Treasury yields soar due to Federal Reserve (Fed) officials pushing back against a March rate cut. Consequently, the non-yielding metal has dropped and printed a two-day low at around $22.86.

From a technical standpoint, XAG/USD is neutral to downward biased, though the grey metal hasn’t been able to drop below the January 11 daily low of $22.48, which could pave the way for further downside. The formation of an ‘evening star’ exacerbated Silver’s fall, with the next support level seen as the $22.00 figure, followed by the November 13 swing low of $21.88.

On the other hand, if XAG/USD’s buyers lift prices above $23.00, they could threaten to challenge the 100-day moving average (DMA) at $23.23. Further upside is seen at the confluence of the 200 and 50-day moving averages (DMAs) at $23.58/66, before testing the $24.00 threshold.

XAG/USD Price Action – Daily Chart

XAG/USD Technical Levels

XAG/USD

Overview
Today last price 22.97
Today Daily Change -0.24
Today Daily Change % -1.03
Today daily open 23.21
 
Trends
Daily SMA20 23.6
Daily SMA50 23.66
Daily SMA100 23.26
Daily SMA200 23.62
 
Levels
Previous Daily High 23.33
Previous Daily Low 23.11
Previous Weekly High 23.53
Previous Weekly Low 22.48
Previous Monthly High 25.92
Previous Monthly Low 22.51
Daily Fibonacci 38.2% 23.25
Daily Fibonacci 61.8% 23.2
Daily Pivot Point S1 23.1
Daily Pivot Point S2 23
Daily Pivot Point S3 22.88
Daily Pivot Point R1 23.32
Daily Pivot Point R2 23.44
Daily Pivot Point R3 23.54

 

 

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