What Happened
Silver (XAG/USD) fell 2.00% on Tuesday, dropping from $86.01 to $84.29 per troy ounce. The move represents a loss of roughly $1.72 on the session, erasing gains made earlier in the week and putting the metal back on the defensive.
Key Levels
- Support 1: $84.00 โ round-number floor and near-term line in the sand
- Support 2: $82.50 โ previous consolidation zone and swing low from recent sessions
- Resistance 1: $86.01 โ Monday’s high and immediate overhead barrier
- Resistance 2: $87.50 โ recent multi-session peak where sellers previously stepped in
Technical Picture
The 2% single-session decline signals short-term momentum has shifted bearish. Silver is now trading below its intraday moving average, and a close beneath $84.00 would confirm further downside risk. RSI is likely retreating toward the 45โ50 neutral zone, warning that bullish momentum from the recent rally is fading.
What Traders Are Watching
The key level to watch is $84.00. A daily close below this figure could trigger stops and open the door toward $82.50. On the upside, bulls need to reclaim $86.01 to put the short-term trend back in their favour. A break above $87.50 would be needed to signal a genuine resumption of the broader uptrend.
Bias
Bearish in the short term. Tuesday’s sharp 2% decline puts sellers in control, and until Silver can reclaim the $86.00 level, the path of least resistance remains to the downside. Australian traders exposed to silver-linked ETFs or miners should watch the $84.00 support closely for signs of stabilisation.
Note: Silver is not listed on the ASX directly, but moves in XAG/USD influence precious metals miners and gold-correlated assets on the ASX.