Silver prices (XAG/USD) saw modest gains, hovering around $30.15 during Tuesday’s Asian trading session. However, the upside for the precious metal remains constrained as investors appear to be liquidating positions, likely driven by profit-taking or to cover losses from declining asset valuations amidst growing concerns about a global trade war. Despite these pressures, a weaker US Dollar (USD) could help limit the losses for the USD-denominated commodity.
From a technical perspective, silver’s bearish trend persists, as prices remain capped below the key 100-day Exponential Moving Average (EMA). The downward momentum is further supported by the 14-day Relative Strength Index (RSI), which remains below the midline at 32.70, signaling continued selling pressure in the near term.
The immediate downside target for XAG/USD is the psychological $30.00 level, with further support at $28.80—the low from December 20, 2024. A deeper pullback could find additional support around $28.31, the low from April 7.
On the upside, the first resistance lies at $30.85, the high from January 21. If silver breaks above this level, the next target would be $31.77, the 100-day EMA, with a potential rally toward $33.20, the high from February 20, if the bullish momentum continues.
