XAG/USD to march forward to the $24.61/$25.30 area – Commerzbank

Silver (XAG/USD) is correcting higher. The white metal is expected to head into the $24.61/$25.30 band, according to Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank.

XAG/USD to see another leg lower on a break below $21.17

“As expected, silver has recovered off the long-term pivotal support at $21.87/17, these represent the September and November 2020 lows and also the July 2014 high and the 2016 high. It is considered to be a major band of support.”

“Given that the spike lower is considered to be an exhaustive move, we will for now maintain our longer-term bullish bias.”

“Initial resistance is the $24.46 the 27th July low but tougher resistance is not encountered until $26.07, last week’s high.” 

“We note that the Elliott wave count is implying $24.61/$25.30.”

 “Initial support is $22.94. Below $21.17 (not favoured) would see another leg lower to the $20.75/50% retracement and then the 200-week ma at $18.92.”