- Silver takes offers to refresh intraday low, prints four-day downtrend.
- Sustained break of monthly support line, downbeat RSI favor sellers.
- Three-week-old horizontal support, 200-SMA test the bears, falling trend line from April 21 adds to the upside filters.
Silver extends the last week’s downside break of the monthly support line, now resistance, while taking offers near $25.80, down 0.22% intraday, during Monday’s Asian session.
Although 100-SMA tests silver bears, for now, a downward sloping RSI line and a clear break of the previous key support signal further decline of the white metal.
It should, however, be noted that early April highs around $25.60, quickly followed by a 200-SMA level of $25.50, guards the quote’s short-term downside.
Meanwhile, corrective pullback needs not only a clear run-up beyond the previous support line around $26.25 but also a break of descending resistance line from April 21, near $26.35, to recall silver buyers.
Following that, the previous month’s top around $26.65 and the $27.00 will be the key to watch.
Silver four-hour chart
Trend: Further weakness expected