Silver Worth Forecast: Will XAG/USD Consolidate Additional?

Silver (XAG/USD) Technical Outlook:

• Silver has been unable to carry above resistance at $18.35
• The elemental drivers of latest bullishness have subsided, so XAG/USD may very well be susceptible to additional consolidation
• How to Trade Silver

Silver Worth Forecast: Will XAG/USD Consolidate Additional?

Silver has loved an encouraging begin to the 12 months, receiving a lift from geopolitical tensions and the Fed’s steadiness sheet enlargement. Now, nonetheless, these drivers have subsided or taken a backseat as silver trades narrowly beneath technical resistance. With out a clear basic catalyst, breaching the topside barrier may very well be an excessive amount of too quickly with out a shock uptick in volatility.

To make certain, it appears as if the market is overdue for volatility after weeks of a subdued VIX, however banking on a right away resurrection in volatility is a method that requires an excessive amount of hope to be sound. With that in thoughts, silver could also be headed decrease over the shorter time period as bulls await additional catalysts and the steel seems to be to consolidate beneficial properties from December and early January.

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