Silver Price Forecast: XAG/USD hangs near YTD low, below $53.00 amid oversold RSI

Silver (XAG/USD) comes under some renewed selling pressure following the previous day's nearly flat close and declines to a fresh low since November 2025 on Tuesday. The white metal sticks to intraday losses through the early European session, currently trading below the $53.00 mark, down around 2.0% for the day.

The US Dollar (USD) builds on its recovery from a three-week trough, touched last Thursday, and gains positive traction for the third straight day, undermining USD-denominated commodities, including the XAG/USD. USD bulls, however, might refrain from placing aggressive bets and opt to wait for the highly anticipated FOMC rate decision on Wednesday. This, in turn, could offer some support to the commodity and help limit further losses.

From a technical perspective, the latest leg down follows the recent repeated failures to find acceptance above the 50-hour Simple Moving Average (SMA) and the $54.00 round figure. This favors bearish traders and suggests that the path of least resistance for the XAG/USD remains to the downside. The negative outlook is reinforced by the fact that the Moving Average Convergence Divergence (MACD) (12, 26, 9) stays in negative territory with a weak profile.

That said, the Relative Strength Index (RSI) at 27.89 hovers in oversold conditions, hinting that while downside pressure persists, selling may be losing momentum at these lower levels. Any attempted recovery beyond the $53.00 mark, however, is more likely to attract fresh sellers and remain capped near the $53.25 horizontal resistance. A sustained strength above could allow the XAG/USD to retest the 500-hour SMA, currently around the $54.00 mark.

The white metal would need to reclaim the said handle to ease the current bearish tone and open the door toward higher prices. On the downside, the absence of nearby technical support suggests that any further slide below the $52.70-$52.65 region could quickly extend further towards the $52.50 intermediate support en route to the $52.00 mark, where buyers might emerge.

XAG/USD 1-hour chart