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Silver (XAG/USD) is currently on the defensive and attention is on the 200-day moving average at $24.75 and the January low at $21.87, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports.

Key quotes

“Silver has recently failed at $26.69 and attention is on the 200-day ma $24.75. This is exposed and failure here will target the 18th January low at $24.21. Currently, we suspect that downside weakness will be limited to this. However, failure here would target the 78.6% retracement at $23.18/17. This is considered to be the last defense for the November low at $21.87.”

“Above $26.69, initial resistance is offered by the 23rd February high at $28.37 ahead of the $30.09 spike high.”  

“Above $30.09 will target the 50% retracement of the move down from 2011, this is found at $31.7150.”