Silver Price Forecast: XAG/USD Falls Below $36.20 on Bearish Reversal as US Yields Rebound

Silver Prices Dip from Recent High of $36.83 to $36.16 Amid Rising US Dollar and Treasury Yields.
Formation of a Bearish Engulfing Candlestick Pattern; Holding Above $36.00 Crucial for Continued Bullish Trend.
Potential Decline Below $36.00 Could Target Support Levels at $35.68 and $35.29; Bulls Aim to Surpass $36.83 for Upside Momentum.

On Friday, silver prices fell over 1% before the weekend, pulling back from a five-day peak of $36.83, just shy of the $37.00 mark. Currently, silver (XAG/USD) is trading at $36.16, influenced by a strengthening US Dollar and higher US Treasury yields.

XAG/USD Price Forecast: Technical Analysis

The retreat in silver prices has led to the formation of a ‘bearish engulfing’ candlestick pattern, suggesting potential for further declines. However, maintaining a weekly close above $36.00 would provide robust support, with the market potentially targeting higher levels.

To renew the upward trend, silver bulls need to breach the recent high of $36.83. If successful, the next targets could be $37.00 and the annual high of $37.31. On the downside, a drop below $36.50 could lead to a retest of the $36.00 support. A more significant decline could reach down to the June 24 daily low of $35.68 and then to the recent bottom at $35.29.