- Silver is trading at $29.73, up more than 3.80% following the release of a weaker US CPI.
- The XAG/USD pair must break above $29.79 and $30.00 for the bullish momentum to continue.
- Key supports at $28.75 and $28.00 if prices fall below $29.00.
Silver's rally continued on Wednesday after the US Consumer Price Index (CPI) came in softer than expected, causing yields to drop, a tailwind for the precious metal. XAG/USD is trading at $29.73, up more than 3.80% on the day.
XAG/USD Price Analysis: Technical Outlook
The price of Silver surpassed the psychological levels of $29.00 and $29.50, however, it is still far from reaching the yearly high of $29.79. That left a double top in the making, but momentum favors buyers, as evidenced by the Relative Strength Index (RSI).
XAG/USD must surpass the yearly high and the psychological level of $30.00 for a bullish continuation. A break of those levels will expose the February 2013 high at $32.15, followed by the October 2012 high at $35.40.
On the other hand, sellers have to drag the price of Silver below $29.00. In that case, the pullback could reach the May 18, 2021 high, which became support, at $28.75, followed by $28.00. Below this last level, key support is located at $27.00.
XAG/USD Price Action – Daily Chart
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
