Silver (XAG/USD) is trading around $32.80 during Wednesday’s Asian session, retreating slightly after posting gains in the previous session. While the metal remains near four-month highs, technical indicators suggest a weakening bullish bias as it struggles to stay within an ascending channel pattern.
Technical Analysis: Bullish Momentum Faces Resistance
Despite the pullback, silver remains above both the nine-day and 50-day Exponential Moving Averages (EMAs), signaling continued short-term strength. The 14-day Relative Strength Index (RSI) also holds above the 50 mark, reinforcing a positive outlook.
On the upside, key resistance lies at the February 14 high of $33.40, aligning with the lower boundary of the ascending channel. A decisive move back into the channel could strengthen bullish momentum, potentially driving silver toward the upper boundary at $35.10.
Key Support Levels to Watch
To the downside, initial support is seen at the nine-day EMA of $32.41, followed by the 50-day EMA at $31.65. A break below these levels could weaken short- and medium-term momentum, exposing silver to further declines toward the two-month low of $30.70, recorded on February 3.
With silver hovering near critical resistance, traders will closely monitor price action for confirmation of either a breakout or a deeper pullback in the sessions ahead.
Related topics:
Japanese Yen Struggles Against USD Amid Tariff Concerns and Hawkish BoJ Expectations
Australian Dollar Holds Steady as Trade Surplus Surges and US Dollar Faces Headwinds
