Silver Price Analysis: XAG/USD rebounds as bulls target $29.00

• Silver stages a comeback, trading at $29.00 with gains of 0.83% after yesterday's 0.46% loss.
• RSI shows bearish momentum, indicating possible extended losses.
• Support levels: $28.28 (June 10 high), $28.00, $27.01 (May 8 low), $26.82 (100-DMA).
• Resistance points: $29.00, $29.17 (50-DMA), $31.54 (June 7 high), $32.00, $32.51 (YTD high).

Silver price stages a comeback on Thursday and erases yesterday’s losses of 0.46%. It trades near the crucial $29.00 psychological level and registers gains of 0.83% at the time of writing.  

XAG/USD Price Analysis: Technical outlook

Silver’s price action during the last couple of days formed a quasi ‘tweezers bottom’ candle chart, yet it remains trading within a descending channel, spurred by last week's ‘bearish engulfing’ chart pattern formation, that exacerbated the grey’s metal downtrend.

Momentum support sellers, as measured by the Relative Strength Index (RSI), standing at bearish territory, hinting the grey metal could extend its losses.

Therefore, XAG/USD's first support is the June 10, 2021, high at $28.28. A breach of the latter will expose the psychological $28.00 mark, followed by the May 8 swing low of $27.01, ahead of the 100-DMA at $26.82.

Conversely, if XAG/USD reclaims the $29.00 figure, the next resistance level would be the 50-day moving average (DMA) at $29.17. Once hurdle, the next level would be the June 7 high of $31.54. Clearing this would aim for $32.00 before challenging the year-to-date (YTD) high of $32.51.

XAG/USD Price Action – Daily Chart