Silver Price Analysis: The pullback in the dollar has given silver the chance to climb

• Silver has pushed nearly 3% higher on Monday. 
• USD 24 per ounce looks like a strong resistance.

XAU/USD 4-hour chart

Silver is another one of those commodities that is benefitting from the dollar taking a break from its recent strength. Over the past week or so the greenback has found its voice after all of the major Fed speakers have been looking for fiscal stimulus that is not on the way. 

Looking at the chart, the price broke below the consolidation low and looks like it’s about to test the area. The black line just above USD 24 per troy ounce could be a resistance zone for the bulls. 

There is also a tentative internal trendline at the current price level. Sometimes these levels work very nicely especially if they are near other important price zones. The indicators are mixed at the moment. The MACD histogram is green but the signal lines are lagging under the zero level. The Relative Strength Index is setting up for a bearish failure swing. This is when the price makes a lower high but the indicator makes a higher high wave or moves into oversold territory. 

Silver looks more vulnerable to downside moves in comparison to gold. The structure of the chart is more bearish as the consolidation low has been broken. If the dollar makes a comeback silver could be in trouble. 

Additional levels