Silver Market Update: Dollar Strength Weighs on solana wallet extensionXAG/USD
The silver market experienced downward pressure in late Wednesday trading as broad-based US Dollar strength emerged alongside falling Treasury yields. XAG/USD currently trades at $27.23, reflecting a 0.71% decline from previous levels.
Technical Perspective: Silver's Price Structure
Despite the recent pullback, the technical outlook for silver maintains an upward bias. The metal continues trading between significant Fibonacci levels drawn from the $24.33 low to $29.78 high, specifically holding between the 50% ($27.05) and 38.2% ($27.70) retracement markers.
Critical Price Levels to Watch
For bullish momentum to reassert control, silver needs to overcome the 38.2% Fibonacci barrier at $27.70. A successful breach could open the path toward psychological resistance at $28.00, followed by the 23.6% retracement at $28.49.
Conversely, sustained selling pressure could test the 50% Fibonacci support at $27.05. A breakdown below this level might trigger moves toward the May 2 low and 50-day moving average confluence zone around $26.02-26.08.
Market Sentiment Indicators
The daily chart reveals several important technical factors:
- Current price remains above the 50-day SMA ($25.87)
- 200-day SMA provides long-term support at $23.84
- Recent trading range between $26.02-$27.48 establishes clear boundaries
Traders should monitor these technical levels alongside broader dollar dynamics and yield movements for potential trading opportunities in the silver market.
