XAG/USD tests key resistance zone near $30.50
Silver (XAG/USD) price remains stable near $30.50 per troy ounce during the Asian trading hours on Wednesday (11/27). The daily chart analysis suggests a possible shift in momentum from bearish to bullish as the currency pair has been moving down along the upper boundary of the descending channel pattern.
However, the 14-day Relative Strength Index (RSI) is currently below the 50 level, indicating the prevailing bearish sentiment. Moreover, the XAG/USD currency pair remains below the 14- and nine-day Exponential Moving Averages (EMA), which signal a bearish outlook and indicate weakening short-term price momentum. This indicates weak buying interest and potential for further price declines.
On the upside, if Silver price manages to break through the key resistance zone near the upper boundary of the descending channel, the asset price will further test the nine-day Exponential Moving Average (EMA) at $30.76, followed by the 14-day EMA at $30.96.
On the downside, Silver prices may find support around the “throwback support” at the psychological level of $30.00. A break below this level could deepen the bearish sentiment, potentially pushing prices lower towards the three-month low of $27.69, followed by the lower boundary of the descending channel at $28.50.
Source: FXStreet
