Silver Price Forecast: XAG eyes 100-day SMA after Waller rally

Silver prices experienced a 2.45% increase on Thursday, driven by comments from Federal Reserve Governor Waller. The XAG/USD traded at $66.90, after reaching $67.48. The market structure indicates lower highs and lower lows, with sellers controlling the situation. Momentum turned in favor of bulls, as seen in the Relative Strength Index (RSI), which moved to its neutral 50 level before rebounding upward.

For the silver price to resume its uptrend, it must surpass the 100-day Simple Moving Average (SMA) at $67.66. Doing so would expose the August 28 high of $71.12, followed by the 200-day SMA at $72.78. If those levels are breached, buyers could challenge the May 25 high at $78.83, and eventually $80.00. If XAG/USD fails to break above the 100-day SMA, sellers might push prices towards the September 2 swing low of $63.32, leading to a potential drop to $60.00.

Silver is a precious metal widely traded by investors, often used as a store of value and hedge against inflation. It can be bought as physical metal or through Exchange Traded Funds that track its price. Silver's price movements are influenced by various factors, including geopolitical events, interest rates, US Dollar strength, investment demand, mining supply, recycling rates, industrial demand, and its relationship with Gold. The Gold/Silver ratio can help determine the relative value of the two metals.