Silver Price Analysis: XAG/USD Erases some of Monday’s losses and hovers around $23.60

• Silver recovered some bright on Tuesday and gained 0.90% after plummeting more than 1% on Monday.
• XAG/USD Price Analysis: Rally capped at the 20-day EMA.

Silver price recovers some ground and is back above Monday’s daily close, still struggling to break the 20-day Exponential Moving Average (EMA) at $23.67 a troy ounce. However, it trimmed some losses after nosediving sharply underneath the 50-day EMA and reaching a 5-day low of $22.76. The XAG/USD is trading at 23.64, up by 0.85%, as of typing.

Silver Price Analysis: Technical outlook

After visiting the 50-day EMA, XAG/USD resumed its uptrend, though it encountered solid resistance in the form of the 20-day EMA at 23.67. Nevertheless, bulls could remain hopeful that XAG/USD could continue to rise further as it reclaimed a three-week upslope support trendline around $23.40s.

Looking ahead, if Silver’s prices break above the 20-day EMA, that could open the door for further upside, exposing crucial resistance levels. Firstly, the psychological $24.00 a troy ounce, followed by the YTD high of $24.54. A breach of the latter and the $25.00 figure is up for grabs.

Otherwise, the XAG/USD first support would be $23.40. Once cleared, sellers would likely mount and drag prices to the 50-day EMA at $22.99. A decisive break could send the XAG/USD sliding toward December’s 16 daily low at $22.56.

Silver Key Technical Levels