Silver price drops below $65.00, extending its week-long losses to more than 6%, trading down nearly 2.50% in the day as the white metal breaks below the 200-day Simple Moving Average (SMA) at $67.25.
XAG/USD Price Forecast: Technical Outlook Price action suggests the white metal is poised to extend its losses if Silver dips below its year-to-date (YTD) low of $61.02 per troy ounce
Two days ago, XAG/USD fell below the 200-day SMA to a two-month low of $64.37, before hitting a new low of $63.37 at the time of writing. Momentum is also extremely bearish as depicted in the Relative Strength Index (RSI). The index is near the 30% oversold territory, though given the strength of the downtrend, the most extreme level is at 20%.
Hence, the path of least resistance is downwards. Silver’s first support level is at $63.00. Below this level lies the YTD low of $61.02, ahead of the $60.00 mark.