SILVER Weekly Price Analysis – February 07
When the bullish pressure pushes up the price to break the $27 level upside, then, $29 and $36 price level will be the target. In case the resistance level of $27 holds, the price may descend towards the support levels at, $25 and $22, and $19.
Resistance levels: $27, $29, $36
Support levels: $25, $22, $19
XAGUSD Long-term trend: Bullish
XAGUSD is bullish on the long-term outlook. The price pattern on the daily chart formed ‘a cup with handle’ chart pattern. On February 01, the price soared to the resistance level of $29 with the formation of the strong bullish daily candle and this is caused by the fallen of the US dollar. The following day, the US Dollar gain strength and that led to the fallen of the Silver to a $25 price level.
Further decrease in Silver price is prevented at the dynamic support level and the metal is trading above the 21 periods EMA and 9 periods EMA at a close range with the fast EMA crossed the slow EMA upside indicates that the bulls are holding the Silver market. When the bullish pressure pushes up the price to break the $27 level upside, then, $29 and $36 price level will be the target. In case the resistance level of $27 holds, the price may descend towards the support levels at, $25 and $22, and $19.
XAGUSD Medium-term Trend: Bearish
On the 4- hour chart XAGUSD is bearish. The metal was on the bullish trend last week on the 4-hour chart. The bulls’ pushed up the price to found resistance at $29 and there was a fake breakout but the bulls could not sustain their momentum. The “evening star” candle pattern formed; which is a bearish signal, the price falls towards the support level of $25. Before the weekly market closed last week, it seems the bears’ pressure is getting weak.
The price is moving towards the resistance level at $27, trading above the 9 periods EMA and 21 periods EMA. The Relative Strength Index period 14 is above 50 levels with the signal lines pointing up to indicate a buy signal.