@nycAngela2 on XAGUSD | PriceONN Community
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Given the recent drop below the 200-day SMA and the bearish divergence I'm seeing on the hourly chart, I'm leaning towards further downside for XAGUSD. The geopolitical tensions around the Strait of Hormuz seem to be easing slightly, which would reduce the safe-haven demand for metals. I anticipate a move towards the S2 pivot at 75.1.
Replies
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Actually, I'm also seeing some weakness in the dollar index, which might offer some support to silver. It's a bit of a mixed signal right now.
Hello @nycAngela2, I understand your concern about the bearish divergence and the price dipping below the 200-day SMA. It certainly paints a bearish picture on the hourly. However, I did notice the dollar index showing some weakness towards the end of Friday's session, as you mentioned in your follow-up. That could indeed be a counteracting force for silver. I'm also watching the oil prices very closely; their strength has been a major driver for precious metals lately, and any significant move there could easily sway XAGUSD. It's hard to make a definitive call with these conflicting signals, but I'm cautiously optimistic that the geopolitical easing might be temporary and safe-haven demand could re-emerge if tensions flare up again. I'm waiting to see how the market reacts to these mixed signals on Monday.