#XAGUSD @ 24.891 Silver price treats while fading late Wednesday’s corrective bounce., @nehcap view: Further downside expected (Pivot Orderbook analysis)

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• Silver price treats while fading late Wednesday’s corrective bounce.
• Eight-day-old descending trend channel, sustained trading below 200-HMA keeps XAG/USD bears hopeful.
• Absence of oversold RSI adds strength to the bearish bias.
• Silver price recovery needs validation from $25.70 to convince buyers.

The pair currently trades last at 24.891.

The previous day high was 25.36 while the previous day low was 24.49. The daily 38.2% Fib levels comes at 24.83, expected to provide support. Similarly, the daily 61.8% fib level is at 25.03, expected to provide resistance.

Silver price (XAG/USD) drops to $24.90 as it fades the latest corrective bounce amid the early hours of Thursday’s Asian session. In doing so, the bright metal remains inside an eight-day-old downward-sloping trend channel, as well as staying below the 200-Hour Moving Average (HMA).

Not only the bearish chart formation and the sustained trading below the 200-HMA but bearish MACD signals and an absence of the oversold RSI (14) also favor the XAG/USD. It’s worth noting, however, that the below 50 level of the RSI line suggests a bumpy road towards the south.

That said, the 61.8% Fibonacci retracement level of the XAG/USD’s upside between April 03 and 14, near $24.50, appears the immediate support for the Silver price to test.

However, the $25.00 round figure and the aforementioned channel’s bottom line, close to $24.40, seem tough nuts to crack for the commodity sellers, which if broken could make the quote vulnerable to refreshing the monthly low, currently around $23.55.

On the flip side, a convergence of the 200-HMA and 38.2% Fibonacci retracement level guards short-term Silver price upside near $25.10.

Following that, the stated bearish channel’s top line, near $25.25 by the press time, will be in focus.

It should be observed that the XAG/USD run-up beyond $25.25 isn’t an open invitation to the Silver bulls as the $25.70 hurdle comprising the levels marked during mid-April can prod the upside momentum.

Trend: Further downside expected

Technical Levels: Supports and Resistances

XAGUSD currently trading at 24.88 at the time of writing. Pair opened at 25.02 and is trading with a change of -0.56% % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 24.81, 50 SMA 22.88, 100 SMA @ 23.15 and 200 SMA @ 21.47.

The previous day high was 25.36 while the previous day low was 24.49. The daily 38.2% Fib levels comes at 24.83, expected to provide support. Similarly, the daily 61.8% fib level is at 25.03, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 24.55, 24.09, 23.69
• Pivot resistance is noted at 25.42, 25.82, 26.29

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