- Silver price remains mildly bid at weekly top, prints three-day uptrend.
- A clear break of 200-DMA, upbeat RSI (14) favor buyers to approach monthly top.
- Tops marked during October, August add to the downside filters.
Silver price (XAG/USD) picks up bids to refresh weekly top around $21.60 during Thursday’s Asian session.
In doing so, the bright metal rises for the third consecutive day while justifying the previous day’s upside break of the 200-DMA. Also keeping the XAG/USD bulls hopeful is the firmer RSI (14) line, not overbought.
With this, the quote is all set to approach the monthly high surrounding the 50% Fibonacci retracement of the March-September downside, near $22.25.
However, June’s peak surrounding $22.50 might challenge the silver buyers afterward, if not then a run-up towards the 61.8% Fibonacci retracement level near $23.40, also known as the golden ratio, could lure the bulls.
On the flip side, a daily closing below the 200-DMA, near $21.40 by the press time, appears necessary to confirm a short-term downside.
Even so, highs marked during October and August, respectively near $21.25 and $20.85, quickly followed by the 21-DMA support near $20.75, could restrict the XAG/USD’s short-term downside.
It’s worth noting that May’s low near $20.45 acts as the last defense of silver buyers.
Silver: Daily chart
Trend: Further upside expected