Silver Price Forecast: XAG/USD tests key resistance zone near $30.50

• Silver price appreciates as daily chart analysis suggests a possible momentum shift from bearish to bullish.
• The primary resistance would be found at a nine-day EMA at $30.76.
• The pair may navigate the area around the throwback support at the psychological level of $30.00.

Silver price (XAG/USD) remains steady near $30.50 per troy ounce during the Asian hours on Wednesday. The daily chart analysis suggests a possible shift in momentum from bearish to bullish as the pair has been tracking down along the upper boundary of the descending channel pattern.

However, the 14-day Relative Strength Index (RSI) is currently positioned below the 50 level, indicating a prevailing bearish sentiment. Additionally, the XAG/USD pair remains below the 14- and nine-day Exponential Moving Averages (EMA), signaling a bearish outlook and indicating weakening short-term price momentum. This suggests weak buying interest and the potential for further price losses.

In terms of the upside, if the Silver price successfully breaches the key resistance zone near the upper boundary of the descending channel, the asset price would further test the nine-day Exponential Moving Average (EMA) at $30.76, followed by the 14-day EMA at $30.96.

On the downside, the Silver price may find support around its “throwback support” at the psychological level of $30.00. A break below this level could deepen bearish sentiment, potentially driving the price lower toward its three-month low of $27.69, followed by the descending channel's lower boundary at $28.50.

XAG/USD: Daily Chart