Silver prices soared and fell.
Treasury yields rebounded.
The dollar rose, generating headwinds for silver prices.
Silver prices fell despite a rebound in gold prices. The dollar rose as consumer credit hit an all-time high. US Treasury yields continued to rebound as recent 2-year highs were tested.
U.S. consumer credit rose in April, following a record jump in March, boosted by the continued strength of U.S. consumers. According to the Federal Reserve, borrowing by credit rose $38.1 billion from March after a downwardly revised gain of $47.3 billion the previous month. The higher prices are not factored into the credit figures. The median forecast called for a $35 billion advance. Figures are not adjusted for inflation.
Silver prices soared and fell. Support is near the 10-day moving average of 22.09. Resistance is seen near the 50-day moving average at 23.08.
The 50-day moving average remains crossed below the 200-day moving average, which is a headwind for XAG/USD and indicates bearish momentum.
The short-term momentum turned negative as the Rapid Stochastic generated a cross sell signal.
The medium-term momentum turns positive when the histogram prints positively with the MACD (Moving Average Convergence Divergence). The trajectory of the MACD histogram is in negative territory, reflecting a downward trend in price movement.
This article originally appeared on FX Empire