- Silver Price stays depressed at two-week low after three-day losing streak.
- Oversold RSI conditions test XAG/USD bears at multi-day low.
- Bearish MACD signals join fortnight-long support break to favor Silver sellers.
- 200-SMA, one-month-old rising trend line challenge further downside of XAG/USD.
Silver Price (XAG/USD) remains on the back foot at the lowest levels in two weeks despite making rounds to $24.30 amid Tuesday’s Asian session. In doing so, the XAG/USD justifies the oversold RSI (14) line as bears take a breather after the commodities decline in the last three consecutive days.
Although the RSI conditions test the Silver sellers, a clear downside break of the 13-day-old ascending trend line and the bearish MACD signals suggest further downside of the precious metal. The same highlights 50% Fibonacci retracement of the quote’s May-June downside, near $24.10.
However, a convergence of the 200-SMA and 38.2% Fibonacci retracement, at $23.65 by the press time, appears a tough nut to crack for the XAG/USD bears afterward.
In a case where the Silver Price remains bearish past $23.65, an upward-sloping support line from June 23, close to $23.30 at the latest, will act as the final defense of the XAG/USD buyers.
On the flip side, XAG/USD recovery needs validation from the previous support line and the 61.8% Fibonacci retracement, respectively around $24.45 and $24.60, to convince buyers.
Even so, the $25.00 round figure and the latest peak of around $25.30 could check the upside momentum before fueling the Silver Price toward the double tops marked in April and May around $26.15.
Silver Price: Four-hour chart
Trend: Further downside expected