Silver maintains a bullish bias as XAG/USD has based at the 24.20 Fibonacci support and strategists at Commerzbank look for it to re-try the topside.
“Silver has sold off and recovered from support at 24.20 last week (61.8% retracement). We suspect that the market has seen an interim base here and should once again recover. This together with the December lows at 23.56 guard the 200-day ma at 22.49. Currently near-term risks remain on the downside.”
“Recovery off the 24.20/23.56 band should see the market re-try the topside but the recent high at 27.97 and Fibo resistance at 28.12 are a tough barrier to overcome. This is seen as the last defence for the 28.93 and 29.89 peaks from last year.”