Silver (XAG/USD) experienced a modest recovery after hitting a nearly two-week low at approximately $78.35 during the Asian session on Monday, climbing back above the $81.00 mark in the last hour. This movement snapped a three-day losing streak for the precious metal, though the rebound lacks strong bullish conviction, according to technical analysis [1].
From a technical standpoint, the intraday breakdown below a short-term ascending trend-line support from the February swing low is viewed as a fresh trigger for bearish sentiment in XAG/USD. The Moving Average Convergence Divergence (MACD) line remains below the signal line in negative territory, with the histogram contracting, indicating persistent but moderating downside momentum. The Relative Strength Index (RSI) is near 40, below the neutral 50 mark, confirming seller control while avoiding oversold conditions and leaving room for further weakness if selling pressure resumes [1].
A drop back below the $80.00 psychological mark would reaffirm the negative bias and could open the way for deeper losses toward the next bearish targets around $78.00 and $76.50. On the upside, initial resistance is seen at the former trend-line support around $82.30, followed by the recent consolidation area near $84.00 and then $86.00 if stronger recoveries occur. A sustained recovery above $82.30 would ease immediate downside risk, while a move through $84.00 would be needed to challenge the current bearish skew. Despite the recent bounce, the near-term bias remains cautiously bearish after XAG/USD broke below the rising support trend line [1].
CONCLUSION
Silver's recent recovery above $81.00 offers only a modest respite from its bearish momentum, with technical indicators suggesting further downside risk if selling pressure resumes. Market participants should watch for moves below $80.00 or above $82.30 for clearer directional signals. The overall sentiment remains cautiously bearish, with deeper losses possible if support levels fail to hold.