Source: FXSTREET By Anil Panchal
- Silver price picks up bids to refresh multi-day high.
- Overbought RSI can challenge XAG/USD bulls, $24.75 in focus.
- Convergence of 21-DMA, bullish channel’s lower line highlights $22.70 as the key support.
Silver price (XAG/USD) portrays an uptick to refresh the eight-month high at $24.30 during Wednesday’s Asian session.
The bright metal rose the most since November 04 the previous day, which in turn propelled the RSI (14) towards the overbought territory. As a result, the quote’s further upside appears doubtful.
This suggests hardships for the XAG/USD bulls as they approach the upper line of the seven-week-old rising trend channel, close to $24.75 by the press time.
Even if the Silver buyers manage to cross the $24.75 hurdle, the 78.6% Fibonacci retracement level of the metal’s March-September downside, near $24.90, as well as the $25.00 round figure, will challenge the commodity’s further advances.