Silver Price Faces Selling Risk as Recovery Hits Initial Resistance

The silver price has been hovering near oversold levels, prompting some intraday short-covering. From a technical perspective, the Relative Strength Index (RSI) is around 28, while the Moving Average Convergence Divergence (MACD) indicator remains in negative territory with a weak profile. The XAG/USD holds well beneath its 200-period Exponential Moving Average (EMA) at $64.64, maintaining a bearish near-term tone.

Any subsequent move up is likely to confront initial resistance near the $61.00 round figure. Follow-through buying could pave the way for a further recovery to the $61.80-$61.85 intermediate hurdle before the XAG/USD climbs further beyond the $62.00 and aims to test the $62.40-$62.45 horizontal support breakpoint.

However, if the metal extends its decline, bears might then aim to challenge the August monthly low around the $56.60-$56.55 zone with some intermediate support near the $57.00 round figure.