Silver Price Forecast: XAG/USD sinks below $27.00 despite geopolitical jitters

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Silver Price Forecast: XAG/USD sinks below $27.00 despite geopolitical jitters
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Silver's price extended its losses for the third straight day and stayed below $27.00 amid increasing geopolitical fears spurred by the Middle East conflict.

Silver drops 1.38% to $26.59, pressured by strong US Dollar. Key support levels at $26.51 and $26.06 eyed amid bearish momentum. Reclaiming $27 could push silver to test resistance at $27.56 and $28.00. Silver's price extended its losses for the third straight day and stayed below $27.00 amid increasing geopolitical fears spurred by the Middle East conflict. Despite that, the grey metal failed to gain traction, capped by the rise of US Treasury yields and a strong US Dollar.

Which factors influence Silver prices? Silver prices can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can make Silver price escalate due to its safe-haven status, although to a lesser extent than Gold's. As a yieldless asset, Silver tends to rise with lower interest rates. Its moves also depend on how the US Dollar behaves as the asset is priced in dollars .

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