Silver (XAG/USD) rebounded from an early dip in the Asian session, recovering to the upper end of its intraday range in the last hour. The metal is currently trading around the $32.35-$32.40 level, largely unchanged for the day but still below last Friday’s multi-month high.
Despite recent fluctuations, silver has remained within a familiar trading range over the past two weeks, suggesting a bullish consolidation phase following a strong year-to-date rally. Positive momentum indicators on the daily chart reinforce the likelihood of an upward breakout.
However, a sustained move above the $32.55 resistance level is needed to confirm further gains. A breakout could push XAG/USD towards $33.00, with potential targets at last Friday’s high of $33.35-$33.40, followed by the key psychological level of $34.00, an intermediate resistance at $34.45, and the multi-year peak of $35.00.
On the downside, strong support has emerged at the $32.00-$31.90 region, with additional support at $31.75-$31.70. A drop below these levels could lead to a test of the 100-day Simple Moving Average (SMA) near $31.20 and potentially the $31.00 mark. Further selling pressure could shift sentiment bearish, triggering declines toward $30.25, the key $30.00 psychological level, and the $29.55-$29.50 support zone.
Traders remain focused on key technical levels to gauge silver’s next move, with bullish momentum intact but requiring confirmation above resistance.
