XAG/USD Stuck Above $42
Silver (XAG/USD) traded sideways around $42.236 during Monday's European session, maintaining its >1.5% gain from the previous session and holding near a 14-year high. Buying interest remains strong, but the market is likely consolidating after a sharp rally.
Technically, silver is still climbing within an ascending channel, indicating a bullish bias. The price is holding above the 9-day EMA, indicating strong short-term momentum and buyers remain in control.
However, the 14-day RSI, which is slightly above 70, indicates overbought conditions, opening the door to a short-term pullback. A reasonable correction could test the psychological $42.00 area and/or dynamic support at the 9-day EMA without altering the main trend.
On the upside, the initial focus remains on $42.46 (September 12 peak, highest since 2011). A clear break above that level could push the price to around $43.50, the upper boundary of the channel. Volatility could increase ahead of a busy week of central bank policy. (ayu)
Source: Newsmaker.id
