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Chart of the Day - Spot Silver

Published 01/17/2024, 01:51 PM
Updated 07/09/2023, 06:31 AM
Silver at risk of a long-term breakdown. XAG/USD-Daily Chart
The false breakout in early December 2023, is leading to XAG/USD underperforming Gold, but more importantly, at risk of a further breakdown. Long term, the silver market looks to be developing a long term triangle consolidation. And the false breakout could lead to a triangle support test near the 21.25 level.
 
A break of the 22.50 intermediate support would open the door for that to happen. The mid December 2023 to present day consolidation has an extension at 21.90 then 21.16 for the 161% "golden Fibonacci" level. A break of 21.16 would be very bearish for the precious metal. 

 

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