Published on May 1, 2023

Daily Analysis For Silver (XAG/USD) 01-05-2023

Sliver (XAG/USD) Analysis

Economic Events and Scenario for XAG/USD

Economic Events : -

GMT	Event	Impact	Currency
00:00	(Australia) Judo Bank Manufacturing PMI	High	AUD
01:00	(Austria) Labor Day	None	EUR
01:00	(Belgium) Labor Day	None	EUR
01:00	(China) May Day	None	CNY
01:00	(Cyprus) Labor Day	None	EUR
01:00	(Ecuador) Labor Day	None	USD
01:00	(El Salvador) Labor Day	None	USD
01:00	(Estonia) Spring Day	None	EUR
01:00	(Euro Area) Labor Day	None	EUR
01:00	(Finland) May Day	None	EUR
01:00	(France) Labor Day	None	EUR
01:00	(Germany) Labor Day	None	EUR
01:00	(Greece) Labor Day	None	EUR
01:00	(Ireland) May Day	None	EUR
01:00	(Italy) Labor Day	None	EUR
01:00	(Latvia) Labor Day	None	EUR
01:00	(Lithuania) Labor Day	None	EUR
01:00	(Luxembourg) Labor Day	None	EUR
01:00	(Malta) Labor Day	None	EUR
01:00	(Montenegro) Labor day	None	EUR
01:00	(Portugal) Labor Day	None	EUR
01:00	(Spain) Labor Day	None	EUR
01:00	(United Kingdom) May Day Bank Holiday	None	GBP
01:30	(Japan) Jibun Bank Manufacturing PMI	Medium	JPY
02:00	(Australia) TD-MI Inflation Gauge MoM	Low	AUD
02:30	(Australia) ANZ-Indeed Job Ads MoM	Low	AUD
06:00	(Japan) Consumer Confidence	High	JPY
07:30	(Australia) Commodity Prices YoY	Low	AUD
09:00	(Switzerland) Myfxbook USDCHF Sentiment	Medium	CHF
09:00	(Australia) Myfxbook AUDUSD Sentiment	Medium	AUD
09:00	(Japan) Myfxbook USDJPY Sentiment	Medium	JPY
09:00	(European Union) Myfxbook EURUSD Sentiment	Medium	EUR
09:00	(United Kingdom) Myfxbook GBPUSD Sentiment	Medium	GBP
09:00	(Canada) Myfxbook USDCAD Sentiment	Medium	CAD
09:00	(New Zealand) Myfxbook NZDUSD Sentiment	Medium	NZD
14:30	(Canada) S&P Global Manufacturing PMI	High	CAD
14:45	(United States) S&P Global Manufacturing PMI	High	USD
15:00	(United States) ISM Manufacturing Prices	Low	USD
15:00	(United States) ISM Manufacturing New Orders	Low	USD
15:00	(United States) ISM Manufacturing Employment	Medium	USD
15:00	(United States) Construction Spending MoM	Low	USD
15:00	(United States) ISM Manufacturing PMI	High	USD
16:30	(United States) 3-Month Bill Auction	Low	USD
16:30	(United States) 6-Month Bill Auction	Low	USD

Today's Scenario: - The price of silver (XAG/USD) has dropped to $24.95, marking the first intraday loss in three days during early trading on Monday. This decline extends the U-turn made by the precious metal on late Friday from the 100-bar Simple Moving Average (SMA).

The Relative Strength Index (RSI) line remains steady and supports the recent weakness in the XAG/USD price. As a result, the price of silver may continue to decline towards an upward-sloping support line from last Thursday, which is currently near $24.85.

Buy Scenario: - The 100-SMA level around $25.15 acts as a short-term support level for the price of silver to recover. Following this, a fortnight-old descending resistance line close to $25.25 will be crucial to watch as a clear upside break of this line could open doors for the metal's rally towards the latest multi-month high marked in April, near $26.10.

Overall, the price of silver is expected to witness further declines, but the downside potential seems limited. Till we did not recommend buying Silver (XAG/USD).

Sell Scenario: - The price of silver in USD (XAG/USD) has dropped to $24.95, recording its first intraday loss in the last three days. This decline extends from late Friday's reversal from the 100-bar Simple Moving Average (SMA). The steady Relative Strength Index (RSI) line further supports the bearish sentiment, indicating that the metal price may witness further downside towards an upward-sloping support line from last Thursday, near $24.85 at present.

If the XAG/USD price breaks below the immediate support level, a horizontal area that encompasses multiple lows recorded since early April, around $24.55-50, will come into play, followed by the 200-SMA level of about $24.10 to challenge the Silver bears. The $24.00 round figure may act as the final defense of the buyers if the bullion price continues to weaken below $24.10. Till we do not advise selling silver (XAG/USD).

Support and Resistance Level: -