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Following the rejection at $28.50 in the US last session, Silver (XAG/USD) has remained trapped in a $1 range this Wednesday. Past this consolidation phase, strategists at Credit Suisse expect the white metal to move higher towards $30.72.

Key quotes

“Silver is seeing a consolidation phase, but with a multi-year base in place and with the market still well below its record highs this remains seen as a temporary breather ahead of a fresh move higher in due course with resistance seen next at $30.72 and eventually, we think more meaningfully and what is our base case objective at $35.23/35.365, which is the 61.8% of the entire 2011/2020 bear trend and key price resistance from September 2018.”

“Support at 22.90 ideally holds further weakness – the 38.2% retracement of the 2020 rally thus far. A break though would warn of a deeper corrective setback with support next at $20.75, then $19.65.”