Silver Price Forecasts: XAG/USD fails to find acceptance above $79.00
Silver (XAG/USD) shows minor gains on Friday, trading at $77.35 at the time of writing after bouncing from lows near $74.00 on Thursday. The white metal, however, remains on track for its third consecutive weekly decline, with bulls lacking follow-through above the $79.00 area.
  • XAG/USD picks up from $74.00 lows, but remains capped below $79.00.
  • Investors are bidding their time ahead of the release of US CPI data.
  • Risk aversion is supporting precious metals, but a firmer US Dollar is limiting rallies.

Silver (XAG/USD) shows minor gains on Friday, trading at $77.35 at the time of writing after bouncing from lows near $74.00 on Thursday. The white metal, however, remains on track for its third consecutive weekly decline, with bulls lacking follow-through above the $79.00 area.

Precious metals are trading within previous ranges in a calm session on Friday. The risk-off market is providing some support, but the firmer US Dollar Index keeps upside attempts limited. Investors are bidding their time ahead of the release of January’s Consumer Prices Index (CPI) data, which might shed some more light on the timing of the next Federal Reserve interest rate cut.


Chart Analysis XAG/USD


Technical Analysis

XAG/USD is consolidating, halfway through February's trading range, with price action hovering below the downward-trending 50-period SMA, which highlights the bearish bias. Four-hour indicators are moderately negative. The Moving Average Convergence Divergence (MACD) remains below zero, and the Relative Strength Index (RSI) stands around 40, indicating subdued demand.

Upside attempts have been capped at the $79.00 area earlier on Friday. Further up, the mentioned 50 SMA, now at $81.00, and the weekly highs, around $86.30, are likely to test potential bullish reactions. Supports are at Thursday's low, in the $74.00 area, and the February 6 low, near $64.00.

(The technical analysis of this story was written with the help of an AI tool.)

Silver FAQs

Silver is a precious metal highly traded among investors. It has been historically used as a store of value and a medium of exchange. Although less popular than Gold, traders may turn to Silver to diversify their investment portfolio, for its intrinsic value or as a potential hedge during high-inflation periods. Investors can buy physical Silver, in coins or in bars, or trade it through vehicles such as Exchange Traded Funds, which track its price on international markets.

Silver prices can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can make Silver price escalate due to its safe-haven status, although to a lesser extent than Gold's. As a yieldless asset, Silver tends to rise with lower interest rates. Its moves also depend on how the US Dollar (USD) behaves as the asset is priced in dollars (XAG/USD). A strong Dollar tends to keep the price of Silver at bay, whereas a weaker Dollar is likely to propel prices up. Other factors such as investment demand, mining supply – Silver is much more abundant than Gold – and recycling rates can also affect prices.

Silver is widely used in industry, particularly in sectors such as electronics or solar energy, as it has one of the highest electric conductivity of all metals – more than Copper and Gold. A surge in demand can increase prices, while a decline tends to lower them. Dynamics in the US, Chinese and Indian economies can also contribute to price swings: for the US and particularly China, their big industrial sectors use Silver in various processes; in India, consumers’ demand for the precious metal for jewellery also plays a key role in setting prices.

Silver prices tend to follow Gold's moves. When Gold prices rise, Silver typically follows suit, as their status as safe-haven assets is similar. The Gold/Silver ratio, which shows the number of ounces of Silver needed to equal the value of one ounce of Gold, may help to determine the relative valuation between both metals. Some investors may consider a high ratio as an indicator that Silver is undervalued, or Gold is overvalued. On the contrary, a low ratio might suggest that Gold is undervalued relative to Silver.

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COTAÇÕES AO VIVO

Nome / Símbolo
Gráfico
% Variação / Preço
XAUUSD
Variação 1 dia
+0%
0
XAGUSD
Variação 1 dia
+0%
0
XPTUSD
Variação 1 dia
+0%
0

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