The precious metal continues to be in a general downtrend as the short and long-term moving averages crossed more than a month ago. The price fell to $24.50 on July 27th, its lowest point since the beginning of April.
The Bollinger bands are wide, but they are starting to shrink and move downwards, strengthening the downtrend signals; the price currently trades in between the lines; at this point, it could move in either direction.
The pair tried to complete a breakout on the 23.6% Fibonacci retracement but failed after almost reaching the second resistance at the 38.2% retracement $26.11; then, it fell back below $25.48.
The relative strength index is currently at 45%, which will allow the metal to attempt a breakout again. If the breakout is completed, we will expect the price to continue its upward trend until the RSI reaches an overbought status or it gets close to 70%.
Our parabolic SAR indicator suggests that the price will rise in the short term.
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