With the current events making an impact on every tradable asset, silver has felt the heat as well. It is currently trading at levels last seen in 2009.
The important break structure at $14 was broken with force on 16th March. Ever since, silver has been trying to provoke some relief rally.
A break higher above the $14 handle is required to consider a bottom is in place. Otherwise, silver is under risk for further slides towards $10.20/30.
The downfall of XAGUSD is owed to the lower demand by the manufacturing industries, which is likely to keep the pressure in check.
In the below chart, we can see that prices have fallen into a downward channel. The resistance of the channel comes to $12.25, where a break carries the potential for a run towards $13 handle.
The lower blue trendline is forming a base at $11.55. If it holds, we can anticipate a move to the higher side; potentially testing the $13 handle.
The two blue trendlines also form a channel tilted slightly to the downside.
A break below the base support of the bearishly biased channel (blue) could lead to a further drop towards the $11.00 handle.