#XAGUSD @ 23.965 Silver price needs to overstep $24.30 for a volatility contraction breakout. (Pivot Orderbook analysis)

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• Silver price needs to overstep $24.30 for a volatility contraction breakout.
• The asset is displaying topsy-turvy moves in a range of 23.45-24.30 for the past two weeks.
• Advancing 200-EMA indicates that the upside trend is still solid.

The pair currently trades last at 23.965.

The previous day high was 24.15 while the previous day low was 23.53. The daily 38.2% Fib levels comes at 23.91, expected to provide support. Similarly, the daily 61.8% fib level is at 23.77, expected to provide support.

Silver price (XAG/USD) is failing to sustain above the round-level resistance of $24.00. The white metal is expected to remain sideways as trading activity will remain quiet amid the festive mood. The US Dollar Index (DXY) dropped sharply on Friday after a consolidation breakdown of the 103.47-104.57 range.

S&P500 remained choppy on Friday but ended the last trading session of CY2023 with a mild sell-off. The 10-year US Treasury yields benefitted from caution in the global market and climbed to 3.88%.

On a four-hour scale, the Silver price is displaying a volatility contraction chart pattern that displays lackluster performance but a breakout of the same results in heavy volume and wider ticks. The asset is displaying topsy-turvy moves in a range of 23.45-24.30 for the past two weeks.

Meanwhile, the 50-period Exponential Moving Average (EMA) at $23.77 is overlapping with the Silver price, which indicates a consolidation on a short-term basis.

While, the 200-period EMA at $22.75 is aiming higher, which indicates that the upside trend is still solid.

The Relative Strength Index (RSI) (14) is oscillating in a 40.00-60.00 range, which indicates directionless movement as investors await fresh impetus for a decisive move.

For an upside, the Silver price needs to surpass December 21 high at $24.30, which will be a breakout of the volatility contraction and will drive the asset towards April 22 high at $24.67 followed by the psychological resistance at $25.00.

On the flip side, a break below December 16 low at $22.56 will drag the asset toward November 15 high at $22.25. A slippage below the latter will expose the asset for more downside toward November 24 high at $21.68.

Technical Levels: Supports and Resistances

XAGUSD currently trading at 23.97 at the time of writing. Pair opened at 23.94 and is trading with a change of 0.13 % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 23.42, 50 SMA 21.88, 100 SMA @ 20.51 and 200 SMA @ 21.13.

The previous day high was 24.15 while the previous day low was 23.53. The daily 38.2% Fib levels comes at 23.91, expected to provide support. Similarly, the daily 61.8% fib level is at 23.77, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 23.59, 23.25, 22.97
• Pivot resistance is noted at 24.21, 24.49, 24.84

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