XAG USD Price Today: Gains Strength as Analysts Watch $83 Barrier

The metal has bounced off its recent price correction, and buyers remain behind the recent lower price range to defend.

The forecast for the next step is split. Some charts suggest that silver demand is recovering to resume some of its closing levels. However, Elliott Wave analysis still has $83.081 as a resistance level, which needs to be breached before the bearish setup fades.

The Daily Demand now has a silver structure

If silver continues to be in demand every day, it could break new ground for an all-time high, GGG Trades said. The chart indicated that XAGUSD had bounced off a shaded demand block, trading around the upper bound of the shaded area, which was below the current price.

The arrangement was a larger move off the January high in silver. The price had previously risen above $110 but tumbled swiftly and then created a lower structure by February, March, and April.

Notably, the chart indicated current demand was in the middle of the $60 to low $70 range. If the price remains above this zone, then the bullish sentiment is associated with buyers taking charge of the same level during pullbacks.

Increased resistance zones were found above the current levels. The chart showed a short-term supply area near the $80 to low-80s level and a broader upper supply area near the $110 to $120 range.

Elliott Wave View Stays Cautious

In contrast, EWF Sandile expressed a different sentiment, indicating that XAGUSD is bearish and trading below $83.081. This chart featured an Elliott Wave structure and showed silver clearing a corrective pattern after being under pressure on the downside.

The post recommends that you can fail to bounce in three or seven swings before the price drops further in wave Y of wave (2). $83.081 remains the invalidation level for the bearish path for this view.

The X chart indicated that silver was hovering around the $76 level and could be heading toward the $78 to $79 range before heading back down. The post also included this warning on selling, not recommended at that particular time.

But the bearish pattern requires the silver to trade below the mentioned resistance. A clean break above the $83.081 level would break down this formation and put pressure on it to move back up to the higher supply levels identified on other charts.

Breakout Case Watches — Closing Levels

Elephant Capital pointed out that the silver price action continued to be strong and that perhaps the correction from the leading diagonal may be over. It also noted that silver is gaining ground back over the highest previous closing price every quarter.

That’s important for structure because a high end-of-term level will support a comprehensive recovery. Furthermore, this chart indicates a continuation outlook with silver remaining in the recent correction area and then running higher.

However, the X chart shows traders must still have confirmation in the form of resistance. The market is trading between bullish demand support and the $83.081 price that is still in the middle of the bearish Elliott Wave forecast.

The key levels are still open for the silver price today. The key level that can now determine if XAGUSD rallies further or resumes another corrective phase is the daily demand. Daily demand is the current key level that could prove to be a turning point if XAGUSD is able to rally higher or resume another corrective phase.