Silver Price (XAG/USD) fades the previous day’s upside momentum as it treads water around 430.17 South African Rand amid the early hours of Monday’s Asian session. In doing so, the XAG/USD fails to extend Friday’s upside break of the 50-SMA while retreating within a two-week-old symmetrical triangle.
Although the top line of the stated triangle challenges the Silver Price upside, the quote’s 50-SMA breakout joins the bullish MACD signals to keep buyers hopeful unless the prices break the immediate SMA support of around 427.23 South African Rand.
Even if the quote breaks the stated SMA support, the bottom line of the immediate triangle, close to 420.49 South African Rand at the latest, will challenge the Silver Price sellers before giving them control.
Following that, lows marked during the last March and the last week, around 418.26-10 South African Rand, will precede the 412.32 South African Rand round figure to challenge the XAG/USD bears before directing them to the early March swing high of around 400.87 South African Rand.
On the flip side, a clear break of the stated triangle’s top line, close to 431.40 South African Rand, will quickly propel the Silver Price towards the 12-day-old horizontal resistance around 437.46 South African Rand. Also acting as the short-term upside hurdle is the 100-SMA level of near 439.19 South African Rand.
In a case where the Silver Price remains firmer past 439.19 South African Rand, the odds of witnessing a run-up toward the monthly high of 462.34 South African Rand can’t be ruled out.`