XAG/USD: technical analysis

XAG/USD, H4

On the 4-hour chart, an uptrend is forming. The instrument left the sideways corridor formed by the boundaries of Bollinger bands, breaking out its upper border. The price range has expanded, which indicates the likely preservation of upward dynamics in the short term. The MACD histogram is in the positive area, gradually increasing volumes, the signal line moves horizontally along the zero line, without forming a clear signal to enter the market. Stochastic is on the border with the overbought zone, the oscillator lines are oriented horizontally.

XAG/USD, D1

On the daily chart, the uptrend is still in force, the instrument is being traded in the middle line of Bollinger bands, the indicator cloud is narrowing. The MACD histogram is around the zero line, its volumes are minimal, the signal line is preparing to cross the zero line downwards, after which a sell signal will be generated. Stochastic is in the neutral zone, the oscillator lines are pointing upwards, keeping a buy signal.

Key levels

Resistance levels: 18.03, 18.22, 18.69.

Support levels: 17.72, 17.49, 17.37, 17.25, 17.07, 16.87.

Trading tips

Long positions can be opened in the short term from the current level with the targets at 18.22, 18.50 and stop loss 17.60.

Short positions can be opened from the level of 17.49 with the target at 17.00. Stop loss is 17.75.

Implementation period: 1–3 days.

Scenario

  • Timeframe

    Intraday

  • Recommendation

    BUY

  • Entry Point

    17.87

  • Take Profit

    18.22, 18.50

  • Stop Loss

    17.60

  • Key Levels

    16.87, 17.07, 17.25, 17.37, 17.49, 17.72, 18.03, 18.22, 18.69

Alternative scenario

  • Timeframe

    Intraday

  • Recommendation

    SELL STOP

  • Entry Point

    17.49

  • Take Profit

    17.00

  • Stop Loss

    17.75

  • Key Levels

    16.87, 17.07, 17.25, 17.37, 17.49, 17.72, 18.03, 18.22, 18.69