Silver Prices Consolidate Amid Weakening US Dollar and Broader Selling Pressure

Silver has rebounded from its July lows, but still faces resistance and broader selling pressure. The asset's price is currently below its short-term and long-term moving averages, reflecting ongoing market caution.

The weaker US Dollar has increased silver's relative appeal, supporting a potential shift in short-term positioning. According to Fxstreet, the recent decline in the US Dollar has enhanced demand for precious metals by improving their relative attractiveness.

On the technical front, XAG is trading below the MA-20 at $65.54 and the MA-50 at $65.42 on the H1 timeframe. Momentum readings are predominantly negative, with both MACD and RSI (41.06) signaling a bearish setup. The Stoch RSI indicates oversold conditions, while CCI and Bull/Bear Power maintain a bias toward seller dominance intraday.

Looking ahead, XAG is expected to trade within a range of $64.44 to $65.88 over the next two to three sessions. Downside continuation is favored, with a 65% probability of further declines versus a 35% chance of a move higher.