Silver (XAG/USD) traded under slight pressure during Thursday’s Asian session, slipping around 0.20% on the day to hover just below the mid-$47.00s. The precious metal failed to hold above the key $48.00 psychological level, drawing mild selling interest after its recent rebound. Still, silver remains comfortably above the weekly low marked on Tuesday, its weakest level since September 25.
Technical outlook: indecision persists despite rebound
From a technical standpoint, silver’s recovery from the 50-day Exponential Moving Average (EMA) earlier this week suggests underlying support remains intact, favoring a cautiously bullish bias. However, oscillators on the daily chart have started to show negative momentum, signaling waning buying pressure and calling for caution before confirming that the latest correction from this month’s all-time high has fully stabilized.
Downside risks remain near $47.00 support
The immediate downside is protected by the $47.00–$46.95 support band. A decisive break below this zone could open the door for a deeper pullback, potentially sending XAG/USD beneath the $46.00 handle to retest the 50-day EMA near $45.55. A sustained drop below that level may invite stronger bearish momentum, exposing the $45.00 psychological mark, followed by the $44.45 and $44.00 regions, and eventually the $43.55 area.
Resistance capped at $48.50; $50.00 remains key target
On the upside, silver faces stiff resistance at the $48.00 round figure and the $48.45–$48.50 region. A clear break above this area could encourage renewed bullish momentum, targeting the $49.00 mark.
A sustained move beyond that threshold would strengthen the bullish case, paving the way for an advance toward $49.45 and, ultimately, the $50.00 psychological level—a critical barrier for confirming a medium-term bullish extension.
