Silver Price Forecast: XAG/USD rallies to $51.50 on risk-off markets

• Silver's rebound from the $49.35 area extends to session highs right above $51.50.
• The risk-averse markets and dismal US employment data have given a fresh push to precious metals.
• XAG/USD is gathering bullish momentum, with bulls eyeing resistance at $52.10.

Silver (XAG/USD) appreciates for the second consecutive day on Wednesday, reaching intraweek highs above $51.50, as the risk-averse sentiment underpins support for safe assets like precious metals amid the global equity markets' sell-off.

Investors' concerns about an AI bubble have been weighing on equity indexes around the world and pushing traders towards safe assets over the last sessions. Furthermore, US labour figures disappointed on Tuesday, feeding hopes of a Fed rate cut in December, which has given an additional impulse to the white metal.

Technical analysis: Silver bulls are focusing on $52.00

Silver is gathering momentum following a 2.5% rally over the last two days. Price action has breached the resistance area around $51.25 (November 17 and 18 high), and the 4-hour Relative Strength Index (RSI) is consolidating above the 50 level, which suggests that bulls are taking control.

If the pair manages to remain above the mentioned $51.25 level, bulls are likely to test the November 13 low, at the $52.10 area, on their way to the November 14 high at $53.65 and the long-term highs between $54.60 and $54.80.

Intraday support is at the 50.70 area, which closes the path towards the trendline support from late October lows, now at the $49.60 area, and Tuesday's low, near 49.35.