#XAGUSD @ 18.613 Silver price fades bounce off the seven-week-old support line., @nehcap view: Further downside expected (Pivot Orderbook analysis)

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• Silver price fades bounce off the seven-week-old support line.
• Death cross, steady RSI favor sellers targeting fresh yearly low.
• Key SMAs restrict immediate upside, monthly low can test sellers.

The pair currently trades last at 18.613.

The previous day high was 19.01 while the previous day low was 18.23. The daily 38.2% Fib levels comes at 18.71, expected to provide resistance. Similarly, the daily 61.8% fib level is at 18.53, expected to provide support.

Silver price (XAG/USD) eases from the weekly high to $18.60, inching closer to the key trend line support during Friday’s Asian session. In doing so, the bright metal pares the previous day’s gains while bracing for a positive weekly closing.

That said, the metal’s failure to provide a successful break of the 50-SMA during the previous day’s run-up joins the steady RSI (14) to keep sellers hopeful.

As a result, the XAG/USD prices may again attempt to break the upward-sloping support line from early September, around $18.30 by the press time, for the fourth consecutive time.

It’s worth noting, however, that the death cross on the four-hour chart adds strength to the bearish bias for the metal, suggesting a clear downside break of the $18.30 support, which in turn could direct the quote towards the yearly low near $17.55.

The 50-SMA’s downside break of the 200-SMA is known as the death cross and is generally favorable to the sellers. Also notable is that the lows marked in October and late September, around $18.00, could act as extra downside filters for the silver bears to watch.

Meanwhile, recovery moves not only need to cross the 50-SMA hurdle of $18.80 but should also stay beyond the 200-SMA level of $19.23 to convince buyers.

Trend: Further downside expected

Technical Levels: Supports and Resistances

XAGUSD currently trading at 18.6 at the time of writing. Pair opened at 18.67 and is trading with a change of -0.37% % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 19.25, 50 SMA 19.17, 100 SMA @ 19.72 and 200 SMA @ 21.73.

The previous day high was 19.01 while the previous day low was 18.23. The daily 38.2% Fib levels comes at 18.71, expected to provide resistance. Similarly, the daily 61.8% fib level is at 18.53, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 18.27, 17.86, 17.49
• Pivot resistance is noted at 19.04, 19.41, 19.81

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