Silver Price Analysis: XAG/USD dips below $23.00 and the 200-day EMA as US yields surge

• Silver slides 1.82% as soaring US Treasury bond yields and heightened odds of a Fed rate hike in July weigh heavy.
• Silver’s drop below the 200-day EMA may trigger further losses unless the $22.53 swing low offers a reprieve.
• A possible rebound could see Silver testing the $23.00 mark and, if breached, a recovery to the 20-day EMA at $23.06.

Silver price dropped below the $23.00 mark as US Treasury bond yield soared after the latest Fed’s minutes and a tranche of US economic data increased the odds for Fed’s July rate hike. At the time of writing, the XAG/USD is trading at $22.69, down 1.82%.

XAG/USD Price Analysis: Technical outlook

XAG/USD turned bearish during Thursday’s session. Silver’s price dropping below the 200-day Exponential Moving Average (EMA) at $22.93 opened the door for further losses, though so far failed to crack the May 26 swing low of $22.53.

If XAG/USD stays above the latter, the white metal could consolidate at around the $22.50-$22.90 range. Otherwise, Silver’s sliding below the bottom of the range will expose the June 22 swing low of $22.11 before testing $22.00. Once cleared, the XAG/USD next support will be the March 16 swing low of $21.47.

Conversely, if XAG/USD stages a comeback and reclaims the 200-day EMA, the XAG/USD’s next resistance will be the $23.00 psychological level. A breach of the latter will increase the odds for a recovery to the 20-day EMA at $23.06.

XAG/USD Price Action – Daily chart