24K99 News: On Thursday (June 20th) in the Asian market, the spot silver suddenly rose significantly in the short term, and the silver price is approaching the $30.00/oz mark. FXStreet analyst Christian Borjon Valencia has written a new article analyzing the technical prospects of the silver price.

(Source: 24K99)

Valencia pointed out that the current target for the silver price is to break through the $30.00/oz mark. Then aim at the key resistance of $30.25/oz and $31.54/oz.

Previously, spot silver closed up nearly 0.8% on Wednesday, at $29.75/oz.

Valencia pointed out that although the silver price has dropped from the year's high of $32.51/oz to below $30.00/oz, it still maintains a neutral bias. The silver price seems to have bottomed out after reaching the monthly low of $28.66/oz; since then, the silver price has risen and is ready to challenge the key $30/oz mark.

Since the Relative Strength Index (RSI) hovers near the neutral line of 50, the momentum shows that buyers and sellers have not yet controlled the situation.

Valencia said that the most likely scenario is that if the silver buyers regain the $30/oz mark, this may reignite the rebound of silver and pave the way for further gains. The next resistance level will be the high of $30.25/oz on June 12th, followed by the high of $31.54/oz on June 7th. Once it breaks through the latter, the silver price will aim at the year's high of $32.51/oz.

(Daily chart of spot silver, source: FXStreet)

Valencia added that on the other hand, if the silver sellers drag the spot price below the 50-day moving average (DMA) of $29.05/oz, it will aim at $29.00/oz. Once it breaks through the above level, it may probe down to $28.66/oz, and then fall sharply to the 100-day moving average of $26.60/oz.

At 09:11 Beijing time, the spot silver was reported at $29.98/oz.