Silver attracts some sellers following an intraday uptick to the $22.95 area on Wednesday and trades with a mild negative bias heading into the European session. The white metal is currently placed around the $22.80-$22.75 region, down less than 0.20% for the day, and remains well within the previous day's broader trading range.

From a technical perspective, the overnight failure near the 38.2% Fibonacci retracement level of the downfall witnessed over the past week or so and the subsequent downtick warrant some caution for bullish traders. Moreover, oscillators on the daily chart are holding in the bearish territory and have started gaining negative traction on the 1-hour chart. This, in turn, suggests that the recent bounce from the vicinity of the $22.00 mark, or a multi-month low touched last Friday, has run out of steam.

That said, it will still be prudent to wait for some follow-through selling below the $22.65-$22.55 confluence before positioning for any meaningful downside. The said area comprises the 100-hour Simple Moving Average (SMA) and the 23.6% Fibo., below which the XAG/USD might aim back to challenge the $22.00 mark. Some follow-through selling could accelerate the fall further towards the $21.70-$21.65 zone en route to the next relevant support near the $21.25 region and the $21.00 mark.

On the flip side, the $23.00 mark (38.2% Fibo. level) might continue to act as an immediate hurdle and is closely followed by the $23.15 confluence, comprising the 50% Fibo. level and the 200-hour SMA. This is followed by 61.8% Fibo. level, around the $23.40 area. A sustained strength beyond will confirm that the XAG/USD has formed a near-term bottom just ahead of the $22.00 mark and pave the way for some meaningful appreciating move in the near term