- Silver eases from two-day high, keeps downside break of three-week-old support line.
- MACD eases bearish bias, sustained trading beyond 200-SMA suggests further recovery.
Silver prices ease from a two-day high to $27.38 during Thursday’s Asian session. In doing so, the white metal fizzles the upside momentum targeting a descending resistance line stretched from February 01.
While sustained trading beyond 200-bar SMA joins receding bearish bias of the MACD to favor silver bulls, the commodity’s trading below the previous support line from January 27 keeps the sellers hopeful.
As a result, the current recovery moves can extend towards the immediate resistance line near $27.60 but the further upside depends upon how well it can break the hurdle, also cross a three-week-old resistance line, at $27.80 now.
It should be noted that the weekly high of $27.95 and the $28.00 round-figure add filters to the quote’s run-up beyond $27.80 while targeting the month’s peak surrounding $30.00.
Alternatively, one-week-old horizontal support around $26.80 restricts the metal’s short-term downside ahead of the 200-bar SMA level close to $26.40.
If at all the silver bears break $26.40 support, the monthly low near $25.90 will test the bears afterward.
Silver four-hour chart
Trend: Further recovery expected
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