Silver Prices: XAG/USD retreats below $32.00 amid high US yields

LONDON (December 13) Silver prices dropped on Friday after buyers could not hold prices above $31.00. Even though there are expectations that the US Federal Reserve will cut interest rates next week, US yields are rising, a headwind for the precious metals segment. The XAG/USD trades at $30.53, down more than 1%, testing the 100-day Simple Moving Average (SMA).

XAG/USD Price Forecast: Technical outlook

Next week's events would provide a catalyst and define Silver’s path toward the end of the year. Despite this, the grey metal is set to finish with gains of over 30%, but in the short term, it could consolidate within the 100-day SMA and the 200-day SMA at $29.49.

If buyers push prices above $31.00, the next resistance level would be the 50-day SMA at $31.64. A breach of the latter will expose $32.00 before aiming for higher prices at $33.00.

Conversely, if sellers clear the 100-day SMA, the next support would be the $30.00 figure. Once hurdled, the next support would be the November 28 daily low of $29.64 before testing the 200-day SMA.

FXStreet