By NewsBlogger Silver prices have seen significant fluctuations, forming a ‘bearish engulfing’ pattern, while gold prices have reached record highs amid speculation of rate cuts from the Federal Reserve. Economists attribute the surge to this potential development.
At a glance
- Silver price dropped over $0.70, forming a ‘bearish engulfing’ chart pattern
- 50-day moving average crossed above the 200-DMA, creating a ‘golden cross.’
- XAG/USD daily close above $25.00 could challenge yearly highs at $25.77
- Silver is currently trading in the mid-$24.00s, just above a one-and-half-week low
- Gold prices reached a record high due to potential rate cuts from the Federal Reserve
The details
Silver and gold prices have been experiencing significant movements in the market. Silver’s price dropped more than $0.70, or 3.15%, to $24.75 after hitting a daily high of $25.77. This price action has formed a ‘bearish engulfing’ chart pattern in the last couple of days.
The 50-day moving average also has crossed above the 200-DMA, forming a ‘golden cross’. The Relative Strength Index (RSI) hovers just below 60 after peaking around 70. The recent pullback has seen the price retreat from resistance near the $26.00 mark, with immediate support found near December’s 22 high turned support at $24.60, followed by the $24.00 level.
A breach of the $24.00 level could open a path towards the $23.00 area.
An XAG/USD daily close above $25.00 could challenge yearly highs at $25.77. Silver (XAG/USD) has experienced a retracement slide from the $25.75-$25.80 region, its highest level since early December.
The white metal is currently around the mid-$24.00s, just above a one-and-half-week low.
The breakdown through the $24.85-$24.80 horizontal support triggered bearish trading, although oscillators on the daily chart still hold in the positive territory.
A sustained break below the $24.30 region could lead to further depreciation, potentially dropping below the $24.00 mark and testing the 50% Fibonacci level support near $23.85.
The $24.80 horizontal support could act as an immediate hurdle, followed by the $25.00 psychological mark.
Strength beyond $25.00 might lead to a rally towards the $25.50 region and potentially the YTD peak.
Further gains could be seen if the December 2023 swing high is cleared decisively.
In addition to silver, gold prices have also been in focus, as they reached a record high due to the possibility of the Federal Reserve cutting rates.
Economists at ANZ Bank have examined the future prospects of gold, attributing the surge in prices to potential Fed rate cuts.
The market continues to monitor silver and gold movements as they react to various economic factors and technical indicators.
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| fxstreet.com |
|---|
| – Silver’s price dropped more than $0.70, or 3.15%, trading at $24.75 after hitting a daily high of $25.77 – Price action has formed a ‘bearish engulfing’ chart pattern in the last couple of days – The 50-day moving average has crossed above the 200-DMA, forming a ‘golden cross’ – The Relative Strength Index (RSI) is hovering just below 60 after peaking around 70 – The recent pullback has seen the price retreat from resistance near the $26.00 mark – Immediate support is found near December’s 22 high turned support at $24.60, followed by the $24.00 level – A breach of the $24.00 level could open a path towards the $23.00 area – An XAG/USD daily close above $25.00 could challenge yearly highs at $25.77 |
| fxstreet.com |
|---|
| – Silver (XAG/USD) has experienced a retracement slide from the $25.75-$25.80 region, its highest level since early December – The white metal is currently around the mid-$24.00s, just above a one-and-half-week low – The breakdown through the $24.85-$24.80 horizontal support triggered bearish trading – Oscillators on the daily chart are still holding in the positive territory – A sustained break below the $24.30 region could lead to further depreciation – The white metal could potentially drop below the $24.00 mark and test the 50% Fibonacci level support near $23.85 – The $24.80 horizontal support could act as an immediate hurdle, followed by the $25.00 psychological mark – Strength beyond $25.00 might lead to a rally towards the $25.50 region and potentially the YTD peak – Further gains could be seen if the December 2023 swing high is cleared decisively |
| fxstreet.com |
|---|
| – Gold prices reached a record high due to the possibility of rate cuts from the Federal Reserve – Economists at ANZ Bank have examined the future prospects of gold – The surge in gold prices is attributed to the potential rate cuts from the Fed |
