Silver Price Analysis: XAG/USD plunges below $31.00 amid Fed’s hawkish minutes

Source Fxstreet
May 22, 2024 21:24
  • Silver drops more than 3.50%, after hitting a daily high of $32.19.
  • Fed's hawkish minutes prompt profit-taking in precious metals, impacting Gold and Silver.
  • Key support levels for Silver: $30.00 psychological level, April 12 high at $29.79, and $29.00.
  • Additional support: May 18, 2021, high at $28.74, and June 10, 2021, high at $28.28.

Silver price tumbled more than 3.50% during the North American session after the Federal Reserve revealed “hawkish tilted” minutes that showed some officials would like to raise rates if inflation warranted it. Therefore, precious metals like Gold and Silver trimmed some of the weekly gains. The XAG/USD trades at $30.81 after reaching a daily high of $32.19.

XAG/USD Price Analysis: Technical outlook

Silver’s uptrend remains intact, but due to the speed and strength of the move, the grey metal was subject to a mean reversion move. The buyer’s momentum has faded, as the Relative Strength Index (RSI) was overbought and punched below the 70.00 level, hinting sellers to step in.

With that said, the XAG/USD first support would be the $30.00 psychological level. On further weakness, the next floor level would be the April 12 high turned support at $29.79, followed by $29.00. The next key support levels would be the May 18, 2021, high at $28.74, and the June 10, 2021, high at $28.28.

XAG/USD Price Action – Daily Chart

XAG/USD

Overview
Today last price 30.78
Today Daily Change -1.20
Today Daily Change % -3.75
Today daily open 31.98
 
Trends
Daily SMA20 28.25
Daily SMA50 27.15
Daily SMA100 25.06
Daily SMA200 24.17
 
Levels
Previous Daily High 32.5
Previous Daily Low 31.07
Previous Weekly High 31.6
Previous Weekly Low 27.97
Previous Monthly High 29.8
Previous Monthly Low 24.75
Daily Fibonacci 38.2% 31.96
Daily Fibonacci 61.8% 31.62
Daily Pivot Point S1 31.2
Daily Pivot Point S2 30.42
Daily Pivot Point S3 29.77
Daily Pivot Point R1 32.63
Daily Pivot Point R2 33.28
Daily Pivot Point R3 34.06

 

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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