Last Updated on July 16, 2026 by Deon
Silver price falls as the market turns negative again.
Silver prices were under a lot of pressure on Thursday, July 16, 2026. The price of silver or XAG/USD went down towards the $56.50 level after it could not stay above its nine-day Exponential Moving Average. This shows that people who want to sell silver are still in control of the market. The short-term trend is still going down.
The price of silver has had a tough time going back up after it went down. Every time it tries to bounce, it faces a lot of selling near important technical levels. This means that traders are being careful because the market still likes the US dollar.
Nine-Day EMA Acts as Strong Resistance
The nine-day Exponential Moving Average is still a resistance for silver. The fact that silver cannot get back above this moving average means that the negative trend is still intact.
The 14-day Relative Strength Index is still below the point of 50. This shows that buyers are not in control yet. The indicator is not extremely low. It still shows that the momentum is weak. This means that the price of silver could go down more.
As long as silver is below the nine-day exponential moving average, analysts think that any rallies will attract new sellers.
People are now watching the $56.50 support area. If the price of silver breaks below this level, it could go down to the important support near $55.60. This is where buyers stepped in before.
If the negative trend gets stronger, traders might look for the price to go down more towards the lower boundary of the descending channel.
Important support levels are:
support: Around $56.50
Support: Near $55.60
Major downside zone: Lower boundary of the descending channel
For the short-term outlook to get better, buyers need to push the price of silver back above the nine-day exponential moving average.
If the price stays above this resistance, it could go up to the boundary of the descending channel and then to the 50-day exponential moving average. Until that happens, the technical picture still favors sellers.
The strong US dollar is also affecting the price of silver. A strong dollar makes it more expensive for people in countries to buy silver.
Even though people are not as worried about inflation, precious metals like silver are still not attracting buyers. People are watching data and what central banks are doing to see what will happen next.
The outlook
For Silver is still cautious. The technical indicators are still showing a trend as long as the price is below the nine-day exponential moving average.
If buyers cannot defend the $56.50 area, the price of silver could go down to the support zone around $55.60. If the price goes back above the short-term resistance, it could be a sign that the selling pressure is getting weaker.
For now traders are watching the levels, the US dollar, and economic data to see what will happen to the price of silver and the Federal Reserve’s policy.
