Silver Price Forecast: XAG/USD slips below $34 as bearish wedge forms

• Silver falls 1.2% to $33.69 as short-term chart hints at bearish wedge despite intact uptrend.
• RSI still bullish but showing signs of fading momentum as sellers start to pressure price action.
• Break below $33.47 could trigger test of $33.00 and 50-day SMA at $32.41; above $34.00, bulls may retarget $34.58.

Silver prices retreated for the second consecutive day this week, dropping approximately 1.20% on Tuesday and falling below the $34.00 mark. As Wednesday's Asian session begins, XAG/USD trades at $33.69, nearly unchanged.

XAG/USD Price Forecast: Technical outlook

Silver's uptrend remains intact, but so far, it appears the grey metal is forming a 'bearish wedge,' which is preceded by an uptrend. This pattern typically presents itself during a downtrend, acting as a countertrend move, before sellers outpace buyers, causing prices to fall lower.

The Relative Strength Index (RSI) suggests that sellers are gaining momentum, although it remains bullish.

In the short term, if XAG/USD drops below $33.47, the wedge's bottom trendline will be in play. If cleared and Silver falls beneath $33.00, look for a decline to test the 50-day Simple Moving Average (SMA) at $32.41.

On the other hand, if Siver climbs past $34.00, buyers would remain in charge and challenge the March 28 peak of $34.58.

XAG/USD Price Chart - Daily