- Silver refreshes intraday low, snaps three-day uptrend around two-week high.
- Firmer Momentum line, sustained break of 100-day EMA favor buyers.
- Sellers have multiple barriers before retaking controls, two-month-old horizontal hurdle becomes the key resistance.
Silver (XAG/USD) takes offers to refresh the daily low around $24.40, down for the first time in the last five days during early Tuesday. In doing so, the bright metal portrays a pullback from the 200-day EMA, the fourth one since June.
However, a firmer Momentum line and successful trading beyond the 100-day EMA level keep buyers hopeful of overcoming the $24.50 immediate hurdle.
Even so, 61.8% Fibonacci retracement (Fibo.) level of July-September declines and a horizontal area comprising tops marked in the last two months, respectively around $24.75 and $24.85-90, become crucial resistance to challenge silver’s further upside.
In a case where the XAG/USD bulls cross $24.90 resistance, the $25.00 and August month’s peak of $26.00 will be in focus.
On the flip side, a daily closing below the 100-day EMA level of $24.17 may aim for the $24.00 round figure and $23.60 supports before the monthly low challenge further downside near $23.00.
Additionally, 23.6% Fibo. level surrounding $22.70, followed by the $22.00 threshold, acts as extra filters to the south.
Silver: Daily chart
Trend: Further upside expected