Silver price remains below the crucial resistance level of $24 as has been the case for two weeks. For as long as the precious metal remains below the 200-day EMA, it will likely remain on a downtrend. Investors are now keen on the Jackson Hole meeting scheduled to start on Thursday. The annual Fed meeting will avail cues on how and when the US central bank will start tapering its asset purchases.
Silver price technical analysis
Silver price is trading within a tight range even as the bulls lack enough momentum to reach the crucial level of 24. At the time of writing, it was down by 0.17% at 23.82.
At the end of the past week, it dropped to a one-and-a-half week low of 22.87 as the bears attempted to break the support at 23. While it has since rebounded, the resistance level of 24 remains a hurdle, as has been the case for two weeks.
On a four-hour chart, it is slightly above the 25 and 50-day exponential moving averages. Besides, it is below the long-term 200-day EMA. In the near term, silver price is likely to continue trading within a horizontal channel while finding support along the 25-day EMA at 23.61.
On the upside, the channel’s upper border will likely be at Tuesday’s high of 23.94 as the psychological level of 24 remains an evasive one. Even with a bullish breakout, it will probably remain below the 200-day EMA at 24.55 as taper talks curb its gains. On the downside, 23 will remain a crucial support level for the precious metal.