Silver Price Analysis: XAG/USD justifies bull cross above $22.00

• Silver takes the bids to refresh daily top, up for the third consecutive day.
• Bull cross, firmer RSI directs buyers towards 200-SMA hurdle.
• Sellers need validation from $21.30 to retake control.

Silver (XAG/USD) renews intraday top past $22.00, extending the previous two-day uptrend, as buyers cheer softer US dollar and technical signals to keep the reins during Monday’s sluggish session.

That said, the US Dollar Index (DXY) remains pressured around the monthly low as traders expect a softening in the Fed’s rate hike trajectory due to the latest US inflation gauge. That said, The US Personal Consumption Expenditure (PCE) data came in mixed for April, mostly downbeat, as the Core PCE Price Index matched 4.9% YoY forecasts versus 5.2% prior.

Additionally, the 50-SMA’s piercing off the 100-SMA from below suggests the short-term bullish outlook for the bright metal.

As the RSI and MACD conditions also support the bull cross, XAG/USD is likely heading towards the 200-SMA and the monthly high, respectively near $22.95 and $23.30.

Should the quote fails to stay firmer and witnesses a pullback, the 100-SMA around $21.75 can put a floor under the XAG/USD prices.

Following that, the May 19 swing low near $21.30 will act as the last defense of silver buyers before directing the quote towards the monthly low close to $20.45.

Silver: Four-hour chart

Trend: Further upside expected