XAG/USD falls to $58.41 amid risk aversion, extending a downward trend below key moving averages and targeting $55 support.
Silver prices slid nearly 2.5% on Wednesday, trading at $58.41 after opening near $61.03, as demand for the US Dollar surged amid broader risk aversion. The decline extends a sequence of lower highs and lows, with technical indicators signaling further downside pressure.
XAG/USD remains below its 200-day Simple Moving Average at $70.19, while the Relative Strength Index nears oversold levels. Key support lies at $56.61, followed by $55.79 and $54.39, with resistance at $63.28 and $67.17.
The metal’s decline reflects its sensitivity to USD strength and shifting investor sentiment, contrasting with its historical role as a hedge during inflationary periods.