Market news
26.05.2023, 07:05

Silver Price Analysis: XAG/USD drives above $23, returns above 50% Fibo retracement

  • Silver price has fit above $23.00 amid a sheer decline in the USD Index.
  • White House officials and Speaker McCarthy-led team are vigorously involved in negotiations for raising the US debt-ceiling.
  • Silver price has shown a decent recovery and has climbed back above the 50% Fibo retracement at $23.00.

Silver price (XAG/USD) has shifted comfortably above the critical resistance of $23.00 in the early European session. The white metal is extending its upside as the US Dollar Index (DXY) is looking vulnerable above 104.00.

The USD Index has sensed selling pressure as investors are expecting that the White House and Republican leaders will reach a bipartisan, which would support the United States Treasury in avoiding a default. White House officials and House of Representatives Kevin McCarthy-led team are vigorously involved in negotiations. The deviation in proposed budget spending by the White House to Republican leaders has narrowed to $70 billion from the original proposal of $1 trillion.

Meanwhile, signs of a pause in the policy-tightening spell by the Federal Reserve (Fed) are also fueling strength into the Silver price.

Silver price has shown a decent recovery and has climbed back above the 50% Fibonacci retracement (plotted March 08 low at $19.92 to April 14 high at $26.08) at $23.00 on a four-hour scale. The white metal has to pass through plenty of filters for a bullish reversal. The asset is still auctioning in a Falling Channel chart pattern.

The declining 20-period Exponential Moving Average (EMA) at $23.15 is acting as a barricade for the Silver price bulls.

The Relative Strength Index (RSI) (14) is making efforts for shifting into the 40.00-60.00 range.

A confident break above May 25 high at $23.14 will send the major toward May 18 low at $23.48 followed by May 19 high at 24.00.

On the flip side, a downside move below May 26 low at $22.68 will strengthen the US Dollar bulls and will drag the asset toward 61.8% Fibo retracement at $22.28 and the major support at $22.00.

Silver four-hour chart


© 2000-2023. All rights reserved.

This site is managed by Teletrade D.J. Limited 20599 IBC 2012 (First Floor, First St. Vincent Bank Ltd Building, James Street, Kingstown, St. Vincent and the Grenadines).

The information on this website is for informational purposes only and does not constitute any investment advice.

AML Website Summary

Risk Disclosure

Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.

Privacy Policy

Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to Automatic import of materials and information from this website is prohibited.

Please contact our PR department if you have any questions or need assistance at

Live Chat E-mail
Choose your language / location