#XAGUSD @ 19.433 Silver once again fails ahead of a multi-month-old descending trend-line resistance. (Pivot Orderbook analysis)

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• Silver once again fails ahead of a multi-month-old descending trend-line resistance.
• The technical set-up favours bulls and supports prospects for an eventual breakout.
• Weakness below the $18.80-75 region is needed to negate the near-term positive bias.

The pair currently trades last at 19.433.

The previous day high was 19.66 while the previous day low was 19.22. The daily 38.2% Fib levels comes at 19.39, expected to provide support. Similarly, the daily 61.8% fib level is at 19.49, expected to provide resistance.

Silver meets with a fresh supply on Tuesday and remains on the defensive through the early European session. The white metal is currently trading near the daily low, just below the mid-$19.00s.

From a technical perspective, the XAG/USD has been oscillating in a familiar band over the past week or so. The range-bound price action points to indecision among traders over the next leg of a directional move. Moreover, the upside remains capped near a descending trend-line resistance extending from the May swing high.

The said barrier around the $19.75 area should act as a pivotal point and help determine the near-term trajectory for the XAG/USD. A convincing breakthrough will be seen as a fresh trigger for bulls and set the stage for an extension of the recent recovery from over a two-year low, the $17.55 region touched earlier this month.

Given that oscillators on the daily chart are holding with a mild positive bias, the XAG/USD might then aim to surpass the $20.00 psychological mark and test the 100-day SMA, near the $20.25 area. Some follow-through has the potential to lift spot prices beyond the $20.50 intermediate hurdle, towards the $21.00 round-figure mark.

On the flip side, the $19.00 mark might protect the immediate downside ahead of the $18.80-$18.75 zone, which if broken decisively will shift the near-term bias back in favour of bearish traders. The XAG/USD might then accelerate the downfall to the $18.45-$18.40 support before eventually dropping to the $18.00 round figure.

Technical Levels: Supports and Resistances

XAGUSD currently trading at 19.38 at the time of writing. Pair opened at 19.56 and is trading with a change of -0.92 % .

The pair is trading above its 20 Daily moving average @ 18.82, above its 50 Daily moving average @ 19.26 , below its 100 Daily moving average @ 20.31 and below its 200 Daily moving average @ 22.11

The previous day high was 19.66 while the previous day low was 19.22. The daily 38.2% Fib levels comes at 19.39, expected to provide support. Similarly, the daily 61.8% fib level is at 19.49, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 19.3, 19.04, 18.86
• Pivot resistance is noted at 19.74, 19.92, 20.17

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