Silver prices experienced a decline, failing to sustain levels above the crucial $23.00 mark, signaling a potential continuation of the ongoing downtrend. The breach below significant supports, including the 200, 50, and 100-day Moving Averages (DMAs), strengthens the bearish outlook for silver.
Buyer resistance was evident at $23.00 and the 100-DMA ($23.15), contributing to the fall to the current spot price of $22.73, marking a 0.59% decrease. Despite three consecutive positive days, silver retraced below $23.00, indicating a resumption of the downtrend and forming a ‘bearish harami’ chart pattern. For a more substantial challenge, XAG/USD needs to surpass December’s swing low of $22.51, potentially leading to support levels at $22.00 and $21.93, the latter being January’s low.
On the optimistic side, buyers are targeting the immediate resistance levels at $23.00 and the 100-DMA at $23.15. Clearing these hurdles would pave the way for the next resistance at the 200-DMA, situated at $23.48.