Silver (XAG/USD) continued its downward trajectory for the second consecutive day, trading around $58.20 per troy ounce during European hours on Monday [1]. Technical analysis indicates that the spot price remains within a descending channel pattern, reinforcing a prevailing bearish bias [1]. The pair is trading below both the nine-period and 50-period Exponential Moving Averages (EMAs), with the alignment of these EMAs above the spot price suggesting that any rallies are likely to be capped [1].
The 14-day Relative Strength Index (RSI) is near 37, which is considered bearish territory, signaling that downside pressure persists despite a recent bounce from the mid-$50s [1]. Immediate support is identified at the seven-month low of $55.63, recorded on June 24, while further declines could push the price toward the lower boundary of the descending channel at $47.90 [1]. On the upside, resistance is seen at the nine-day EMA of $59.80, followed by the upper boundary of the descending channel at $60.50. A break above this channel could allow the XAG/USD pair to test the 50-day EMA at $67.00 [1].
No market reactions or analyst opinions beyond technical analysis are discussed in the source article [1].
CONCLUSION
Silver is facing sustained bearish pressure, with technical indicators pointing to further downside risk unless key resistance levels are breached. The market remains cautious, with immediate support at $55.63 and potential for deeper declines if the bearish trend persists.