Silver Price Outlook: XAG/USD hovers near $78.00; potential for further decline appears restricted

Silver Price Update: XAG/USD Holds Steady Amid Modest Fluctuations

During Thursday’s Asian trading hours, silver (XAG/USD) has been oscillating between slight gains and losses, currently hovering near the $78.00 level—a decrease of 0.40% for the session. Despite this dip, the precious metal remains above both yesterday’s low and an upward trend line established this month, which is situated close to $77.00.

Beneath this area, the 100-hour Simple Moving Average (SMA) is rising and positioned around $75.65, serving as a significant reference point for short-term market participants. As long as XAG/USD stays above these technical supports, the short-term outlook appears to favor buyers, suggesting that pullbacks may attract renewed interest from bullish traders.

The Moving Average Convergence Divergence (MACD) indicator is approaching the zero mark from below, indicating that downward momentum is easing after the recent pullback. Meanwhile, the Relative Strength Index (RSI) stands at a neutral 47, pointing to a balanced market environment. Continued trading above these key levels would reinforce the positive sentiment.

On the other hand, a decisive move beneath these supports could trigger additional technical selling, potentially pushing XAG/USD down toward the psychologically important $75.00 threshold. Should the decline persist, the next notable support lies in the mid-$74.00 range, which may provide a short-term floor for silver prices.

XAG/USD 1-Hour Price Chart