The silver price rally has hit a pause for the second consecutive day, with bulls failing to decisively push beyond the $34.00 mark despite reaching a yearly high of $34.23. As the Asian session begins on Wednesday, XAG/USD remains virtually unchanged at $33.97.
Technical Outlook
On Tuesday, silver traded mostly sideways, closing below 50% of its daily candle size, signaling a lack of clear dominance between buyers and sellers. While the broader trend suggests the uptrend could persist, bulls appear to be taking a breather, as reflected by the Relative Strength Index (RSI) flattening near overbought levels.
If XAG/USD surpasses $34.20, the next resistance levels stand at the October 30, 2024, peak of $34.51, followed by the psychological barrier of $35.00. Conversely, if silver remains below $34.00, immediate support lies at the March 18 low of $33.75, with additional downside risk toward the March 17 trough at $33.44.