Silver Price Forecast: XAG/USD hung up on descending trendline near $22.60
- Silver prices are seeing a minor pullback for Monday, after Friday's peak into $22.82 failed to spark an extended rally.
- XAG/USD is seeing softening bids at the descending trendline from $25.00.
- Spot Silver prices are tracking the US Dollar closely, traders will be looking for a pattern breakdown.
XAG/USD prices are softly back on Monday in a relief pullback from Friday's peak into $22.82. While bullish momentum saw a boost for spot Silver on the back of an escalation of the Israel-Hamas conflict last week, Silver's deep bear rout from August's peaks at the $25.00 handle are constraining metal bulls.
Silver has seen a firm rebound in October, climbing over 9% from a low of $20.68 at the beginning of the month, but things still remain bearish for the XAG/USD, and October's bottom bids still represent a seven-month low for Silver.
Silver bulls are going to need a solid firming-up of broader market sentiment before the XAG/USD can lift back into 2023's median prices.
XAG/USD Technical Outlook
Silver's Friday peak saw XAG/USD bids ping off a descending trendline drawn from August's peak at the $25.00 major handle, marking in a potential swing high at $22.82 if bearish action sees a continuation.
On the top side, the 50-day Simple Moving Average (SMA) is capping off near-term action from $22.90, and has confirmed a bearish crossover of the 200-day SMA, currently parked just north of $23.25.
XAG/USD Daily Chart
XAG/USD Technical Levels