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Commodities Silver

Silver Price Forecast: XAG/USD Consolidates at Key EMA Levels with Upside Potential in the Pipelines

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  • May 29, 2025
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Silver price (XAG/USD) is currently consolidating near the nine-day Exponential Moving Average (EMA) at $33.00, exhibiting a neutral short-run momentum as it puts an end to a recent two-day sell-off. Technical tools such as the 14-day Relative Strength Index (RSI) breaking above 50 point toward a potential change in momentum to the upside. Nearby support is at the nine-day EMA around $33.10 and the 50-day EMA at $32.69, while important resistance is at the rectangle top at about $33.60. A firm break above this resistance could see silver test higher levels, such as the seven-month high around $34.59. However, inability to support could see further downside test to $31.80 and recent lows around $31.65. KEY LOOKOUTS • Observe silver to retain these significant support levels to continue short- and medium-term bullish momentum. • A break above this significant resistance has the potential to lead to a more robust bullish surge towards the seven-month high of $34.59. • The 14-day RSI rising above 50 indicates possible bullish bias—be on the lookout for confirmation of rising momentum. • A decline below support levels might pave the way for silver to return to the rectangle’s lower edge around $31.80 and then the six-week low of $31.65. Silver price stands at a crossroads, being close to the nine-day EMA around $33.10, which is short-term support in conjunction with the 50-day EMA around $32.69. The 14-day RSI breaking above the 50 level suggests increasing bullish power, but the price is still locked inside a rectangular consolidation range. Traders need to carefully observe a strong break above the $33.60 resistance, which may set the stage to challenge the seven-month high at around $34.59. On the other hand, a lack of maintaining current support levels may bring about fresh downside pressure, possibly sending silver again into the $31.80 to $31.65 area. Silver is stabilizing around the pivotal nine-day EMA level of $33.10, with the RSI indicating possible bullish momentum. Breaking above $33.60 may send the prices towards the seven-month high of $34.59, while selling down below support could test the levels of $31.80. •  Silver is also hovering around the nine-day EMA at about $33.10 and is a near-term support. • The 14-day RSI also crossed above 50 and indicates a potential change towards bullish momentum. • The secondary level of support to keep an eye on is the 50-day EMA around $32.69. • The rectangle’s top boundary at about $33.60 is where resistance is anticipated, an important breakout area. • Breaking above $33.60 would have silver challenging the seven-month high at $34.59. • If unable to hold support levels, silver may be pressured down to the lower end of the consolidation range at $31.80. • Additional downside risk would be out to the six-week low of $31.65 if bear pressure increases. Silver remains in the limelight as a worthy asset in the wake of continued global economic instability. Investors tend to seek refuge in silver as a safe haven and inflation hedge, fueling constant demand in industrial and investment markets. Its dual status as a precious metal and industrial commodity guarantees it an influential position within global markets. XAG/USD DAILY PRICE CHART CHART SOURCE: TradingView Looking forward, silver’s prognosis is guardedly optimistic as market players consider economic rebound, inflation direction, and political developments. Although supply and demand fundamentals will remain crucial in shaping the metal’s direction, silver’s inherent worth and extensive application in multiple sectors indicate that it will be a central focus to monitor over the upcoming months. TECHNICAL ANALYSIS Silver is now consolidating at the nine-day Exponential Moving Average (EMA), which signifies a short-term period of indecision in the market. The Relative Strength Index (RSI) recently crossed over the middle zone of 50, signifying that bullish energy could possibly gain strength. Important support levels near the nine-day and 50-day EMAs will serve as valuable floors for price action, and resistance near the high end of the existing consolidation zone will be key in deciding what the next direction will be. Traders will be watching closely for a breakout or breakdown from this range to indicate more intense trends in the future. FORECAST If silver is able to breach the critical resistance level at $33.60, it would be a sign of re-emerging buying interest and the beginning of more powerful higher trend. This kind of breakout would propel prices higher, potentially to recent highs of $34.59. The positive momentum within technical gauges such as the RSI indicates potential further gains, provided global economic trends allow precious metals to be sought as safe-haven investments. Conversely, however, if silver is unable to maintain key support levels at the nine-day and 50-day EMAs, it could come under growing selling pressure. A fall below those supports would see a test of the bottom of the consolidation range at around $31.80, and potentially lower to the recent six-week low of $31.65. Deterioration in momentum indicators might strengthen this fall, signaling a change in market sentiment to one of caution or risk aversion.

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Commodities Silver

Silver Price Prognosis: Bullish Trend Approaches Important Resistance at $33.70 with Geopolitical Tensions and Weaker Greenback

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  • May 26, 2025
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Silver futures are experiencing bullish momentum around the $33.50 level with support from a soft US Dollar and increased geopolitical tensions. Above the very significant 100-day EMA and having a robust RSI reading, the metal is ready to test immediate resistance in the $33.60-$33.70 zone. A definitive breakout above this level would set the stage for additional advances towards $34.60 and even the psychological $35.00 level. To the downside, support is solidly established at $32.61, with a breakdown potentially sending prices to the 100-day EMA around $32.20 and lower to $31.00. Traders will also be monitoring the Bank of Japan Governor’s address for further insight. KEY LOOKOUTS • A strong break above this near-term resistance area would set the stage for more upside action towards $34.60 and the psychological $35.00 mark. • The May 22 low is a key support. A fall below it could see the stock fall towards the 100-day EMA at $32.20 and then possibly $31.00. • Price of silver continues to find support above the 100-day EMA, and the RSI reading of 57.45 reflects continued bullish momentum in the short term. • Rising geopolitical tensions and a weaker US Dollar are major drivers underpinning silver’s safe-haven demand, as investors also look forward to the Bank of Japan Governor’s speech for continued market guidance. Silver is presenting very strong signs of bullishness as it hovers around $33.50, aided by the weak US Dollar and persistent geopolitical tensions that increase demand for safe-haven assets. The metal is well above its 100-day EMA, and the RSI indicates sustained upward momentum. There is immediate resistance around the $33.60-$33.70 area, with the breakout expected to push prices towards the May 28 high of $34.60 and the important psychological level of $35.00. On the downside, the $32.61 support needs to be monitored; a break below here may push prices to a more significant pullback to the 100-day EMA around $32.20 and possibly $31.00. Market attention is also focused on the upcoming Bank of Japan Governor’s speech, which may influence broader risk sentiment and silver’s trajectory. Silver is trading close to $33.50, underpinned by a declining Dollar and increased geopolitical tensions, sustaining bullish momentum above the 100-day EMA. Important resistance is at $33.60-$33.70, with a possible breakout targeting $34.60 and $35.00, with support at $32.61. Traders look for the Bank of Japan Governor’s speech for additional market clues. • Silver price is trading close to $33.50, with modest gains in early European session. • The metal continues to be supported above the pivotal 100-day Exponential Moving Average (EMA). • Relative Strength Index (RSI) is at 57.45, which is bullish. • The nearest resistance is at the $33.60-$33.70 zone, with a breakout offering a chance to push prices to $34.60. • A psychological resistance level to be watched is $35.00. • Important support rests at $32.61, with a likely fall towards $32.20 (100-day EMA) and $31.00 if violated. • Geopolitical tensions, a declining US Dollar, and the upcoming speech of the Governor of the Bank of Japan are significant price-moving factors. Silver is now gaining traction in the midst of rising geopolitical tensions and a weakening US Dollar, which are fueled by rising demand for safe-haven assets. Precious metals such as silver are becoming more attractive to investors as a hedge against volatility and uncertainty. The metal is also gaining traction owing to concerns about the global economy, which are instilling cautious optimism in both traders and analysts. XAG/USD DAILY PRICE CHART CHART SOURCE: TradingView Market players are also paying close attention to some important forthcoming events, such as a speech by the Governor of the Bank of Japan, which may have an impact on overall investor sentiment. These considerations together indicate that silver is likely to remain under the radar as geopolitical factors and economic policies continue to move in different directions, influencing the near-term outlook for the precious metals market. TECHNICAL ANALYSIS Silver is exhibiting consistent bullish pressure with the metal trading higher than its 100-day Exponential Moving Average, indicating underlying strength within the market. The Relative Strength Index (RSI) is well above the midline, indicating positive momentum without going into overbought levels. The main resistance can be seen around the $33.60-$33.70 zone, which, if broken, may open up for higher targets. On the other hand, firm support levels at $32.61 offer a cushion, keeping the present bullish trend in place while restricting downside risks. FORECAST If silver does break decisively above the near resistance area of $33.60-$33.70, it might pick up a lot of steam and move towards the new high of $34.60. This break may draw in more buyers, which could send prices higher towards the important psychological level of $35.00. Optimism in the market driven by continuing geopolitical tensions and weakness in the US Dollar might also sustain this move higher. To the contrary, if silver does not stay above the support line of $32.61, it can see rising selling pressure, which can send it into a pullback towards the 100-day EMA level of $32.20. A break below there can expose it to further fall towards $31.00, testing the lower edge of the Bollinger Bands. Traders need to monitor these important levels since a breakdown might indicate a change in momentum and, more importantly, extend any corrective phase.

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Commodities Silver

Silver Price Rises Over $33 Amid Safe-Haven Demand Even as US Fiscal and Tariff Issues Bite

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  • May 23, 2025
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Silver prices have risen to over $33 per troy ounce, driven by increasing safe-haven demand with increased uncertainty about the US fiscal deficit and uncertainties surrounding tariffs affecting industrial demand. Even though it had dipped in recent times, silver’s attraction as a hedging asset balances issues affecting manufacturing units, such as the photovoltaic sector, that depend greatly on silver. President Trump’s “One Big Beautiful Bill” passage in the US House, expected to expand the budget deficit, and Moody’s lowering of the US credit rating are contributing to the market jitters. At the same time, industrial demand remains underpinned by strong growth in China’s and Europe’s renewable energy industries. KEY LOOKOUTS • Watch how the Senate reacts to Trump’s “One Big Beautiful Bill” and its impact on the US budget deficit, which will inform safe-haven demand for silver. • Watch additional credit rating news and debt projections, as declining fiscal health might push more investors to silver as a hedge. • Monitor trends in the photovoltaic and renewable energy industries, particularly in China and Europe, as these markets have a significant influence on silver industrial consumption. • Note any shifting in US-China trade relations and tariff policies, which may influence silver demand within manufacturing and industrial uses. Investors need to carefully monitor the Senate’s treatment of Trump’s “One Big Beautiful Bill” because its influence on the US budget deficit will shape safe-haven demand for silver. Moreover, Moody’s recent US credit rating downgrade indicates growing fiscal risks that could drive more investors towards precious metals as a hedge. Industrial demand continues to be important, as China’s and Europe’s growing renewable energy sectors continue to power silver usage. In the meantime, continued trade tensions and tariff issues between the US and major manufacturing allies such as China may press down on silver’s industrial consumption, complicating the metal’s price picture. Silver prices are bolstered by safe-haven demand as US fiscal worries rise and credit ratings get downgraded. Chinese and European renewable energy industrial demand is robust, but trade tensions and tariff issues remain threats to the outlook for silver. •  Silver price (XAG/USD) has surged past $33 per troy ounce, buoyed by safe-haven buying as a result of fiscal uncertainties. •  The US House of Representatives approved President Trump’s “One Big Beautiful Bill” that added $3.8 billion to the budget deficit. •  Fears surrounding the increasing US fiscal deficit and debt levels are keeping commodity prices, including silver, suppressed. • Moody’s lowered the US credit rating from Aaa to Aa1, citing increasing federal debt and expanding budget deficits. • Industrial use of silver, particularly by the photovoltaic and renewable energy sectors, continues to be firm due to expansion in Europe and China. • Trade tensions and tariff worries are eroding demand for silver in primary manufacturing industries. • Silver’s price direction is shaped by a combination of safe-haven demand and volatile industrial use in the midst of worldwide economic uncertainty. Silver is attracting notice as investors seek shelter with increasing worries regarding the United States’ fiscal stability. Recent political events, such as the approval of a large budget bill in the House of Representatives, are questioning the nation’s rising debt and deficit levels. These fiscal uncertainties are spurring demand for silver as a safe-haven asset, even when general challenges are affecting its industrial application. XAG/USD DAILY PRICE CHART CHART SOURCE: TradingView Meanwhile, silver still dominates in industries such as renewable energy, with robust expansion in solar and wind power in Europe and China bolstering demand. Yet, persistent tensions in trade and tariffs pose problems to the manufacturing industry, which is much dependent on silver. This mixture of circumstances makes it a complicated backdrop for silver, weighing against its attractiveness as a safe haven while acknowledging its industrial significance. TECHNICAL ANALYSIS Silver (XAG/USD) has crossed above the critical $33.00 resistance level, indicating fresh bullish pressure on the back of safe-haven demand. The price is now consolidating slightly above this mark, and it implies that investors are balancing the ongoing fiscal and trade uncertainty. Important levels to focus on are the $32.50 zone, which has resisted in the recent trading sessions, and resistance around $33.50, which may test the vigour of the current upward trend. Momentum gauges suggest guarded optimism, but any abrupt changes in US fiscal policy or industrial demand can rapidly impact price direction. FORECAST Silver prices may continue to increase if safe-haven demand increases amidst increasing fears about the US fiscal deficit and downgrades in the country’s credit rating. Higher geopolitical or economic uncertainty tends to increase investors’ interest in precious metals as a store of value. Also, robust industrial demand from growth in China’s and Europe’s renewable energy industries—particularly the photovoltaic industry—may further underpin silver prices in the medium term. Conversely, silver experiences downward pressure because of persistent trade tensions and tariff uncertainties that can suppress demand in major manufacturing industries. Should the economic conditions in the US stabilize or should the Senate adjust fiscal policies to alleviate deficit concerns, safe-haven demand for silver can get decimated. Additionally, any slowdown in industrial growth or diversion to other materials in manufacturing will also cut down the consumption of silver, capping its price appreciation.

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