Silver reached a weekly high of $29.22 before settling at $28.49, a slight decrease of 0.02%. The technical outlook suggests that a close above the 100-day moving average ($28.69) could spark a rally towards $29.00 and $29.50. On the other hand, a bearish scenario may unfold if XAG/USD falls below $28.00, targeting $27.95, July 29 low ($27.31), and the 200-day moving average at $26.00.
Silver Price Analysis: A Closer Look
After reaching a new weekly high, Silver faced resistance at $29.22 and retreated below $28.00 following the release of US Nonfarm Payrolls data. However, buyers stepped in to support the price, bringing it back to $28.49. If Silver manages to close above the 100-DMA, we could see a bullish momentum pushing prices towards $29.00 and $29.50 in the coming days. On the contrary, a break below $28.00 could signal further downside towards $27.95, $27.31, and $26.00.
Silver FAQs: What You Need to Know
Silver is a precious metal that is often traded by investors as a store of value and a hedge against inflation. It can be bought in physical form or traded through financial instruments like Exchange Traded Funds. Silver prices are influenced by various factors such as geopolitical events, interest rates, and the strength of the US Dollar. The metal is also widely used in industries like electronics and solar energy, which can impact its price. Additionally, Silver prices tend to follow Gold’s movements, making them closely related in the financial markets.