Silver (XAG/USD) Makes A New 2-Days High But slides Below $24.00
Silver (XAG/USD) has managed to continue its upside movement for the 2nd day in a row. The precious metal also cleared the resistance of $23.93, which was the daily high from Thursday's session. It also managed to stay above the 20 EMA on the daily chart and ended up making a high around the $24.07 level.
But as we progressed towards the North American session, the silver metal has since moved below the $24.00 level. For now, silver is currently trading around $23.93, which is around 7 cents below the resistance at $24.00.
If we look at the daily chart of XAG/USD, it suggests that the precious metal is heading toward the $24.50 price level. This comes at a time when Silver has even crossed the 20 EMA on the daily chart.
Just this month, Silver has already tested its year-to-date high located around the $24.54 level. Earlier, it also dropped to $23.12, which was the low of 2023. And for now, Silver is not able to touch the $24.00 resistance level, which seems to be a major level.
If we look at the relative strength index (RSI) indicator, it is still making an upwards slope. In addition, the ROC indicator is hinting toward the momentum of buyers in silver.
So if Silver (XAG/USD) clears the $24.50 resistance, then it would mean buyers are still dominating the markets. As a result, it would open the doors toward the $25 level of silver. And after that, the next target will be $26.21, which is the high of 18th April.
On the flip side, the nearest support for Silver (XAG/SD) is the 20-day EMA, located at 23.69. If that support level also breaks, then it would send the precious metal toward its pivot, located at $23.17. After that, there's the $23.00 support which also sits close to the 50 EMA (daily) located at $22.91.
If we look at the fundamental side, any further weakening of the US Dollar will also lend support to Silver & other precious metals. On the other hand, the strength of the US Dollar will make the precious metals weak and open the door to the downside.