• Silver price fades bounce off four-month low after confirming bearish chart pattern earlier in Asia.
• Bearish MACD signals, sustained trading below the key EMAs keep XAG/USD sellers directed toward $18.80 theoretical target.
• Convergence of flag’s top line, 100-EMA appears short-term key upside hurdle to watch during corrective bounce.

Silver (XAG/USD) remains on the back foot around the $20.00 round figure amid early Friday in Europe, fading the bounce off the intraday low.

In doing so, the bright metal retreats from the lower line of a three-day-old bear flag, after confirming the downside suggesting chart formation earlier in the day.

Adding strength to the bearish bias are the downbeat MACD signals and the XAG/USD’s sustained trading below the 100 and 200 Exponential Moving Averages (EMAs).

That said, the recent lows marked around $19.90 and the latest October 2022 peak surrounding $19.75 may entertain the intraday sellers of the Silver during the theoretical target surrounding $18.80.

Meanwhile, recovery moves could aim for the convergence of the 100-EMA and the stated flag’s upper line, close to $20.35. Also acting as an upside filter is the 200-EMA level surrounding $20.65.

It should be noted that the monthly high near $21.30 holds the key to the Silver buyer’s conviction.

To sum up, the Silver price remains bearish and can refresh the four-month low marked earlier in the day.

Silver price: Hourly chart

Trend: Further downside expected