- Silver fades bounce off $26.89, wavers around intraday low.
- An ascending trend line from February 11 restricts immediate downside.
- 100-HMA, three-day-old resistance guard immediate upside.
Silver prices remain depressed around $27.00 during the initial Asian trading on Friday. In doing so, the white metal stays directed towards a short-term support line that restricts the quote’s downside moves since February 11.
However, bearish MACD and sustained trading below a convergence of 100-HMA and a falling trend line from Tuesday challenge the odds of the commodity’s recovery from the stated support line, at $26.90 now. The same could direct silver towards the previous week’s low near $26.70.
Though, any further weakness below $26.70 will be challenged by 61.8% Fibonacci retracement of the bullion’s run-up from February 04 to 16.
If at all the silver sellers chose to ignore the key Fibonacci support of $26.70, odds of the price declines towards $26.00 can’t be ruled out.
Meanwhile, a clear break of above the stated resistance confluence near $27.35 becomes necessary to recall the silver buyers.
Following that the $28.00 can offer an intermediate halt during the run-up targeting the monthly top of $30.06.
Silver hourly chart
Trend: Further weakness expected
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