Silver (XAG/USD) has punched through a major horizontal resistance level around the psychological $35.00 mark, marking a significant technical breakout with bullish continuation potential.
🔍 Technical Highlights
Breakout Above Multi-Month Resistance: Price has cleanly broken above the key $35.00 zone, which had capped upside since late 2023. The breakout follows a tight consolidation range, suggesting a measured accumulation phase has ended.
Moving Averages Aligned Bullishly:
The 50-day SMA is rising sharply and sits well above the 200-day SMA.
Price is comfortably trading above both averages, confirming a strong uptrend structure.
MACD in Strong Positive Territory: MACD has surged above its signal line, reinforcing bullish momentum. No signs of a bearish crossover in sight.
RSI Enters Overbought Zone: RSI is currently near 70. While this signals strong momentum, it also raises the potential for short-term cooling or consolidation before any continued leg higher.
⚙️ Outlook
The breakout above $35.00 represents a major bullish development, potentially opening the door to further upside exploration. The impulsive nature of recent gains, combined with rising momentum indicators and trend-confirming moving averages, all favor the bulls. However, the overbought RSI suggests the possibility of a short-term pullback or sideways consolidation before the next move higher.
Traders may want to monitor for a potential retest of the $35.00 area as support, which could offer a higher-probability continuation setup within the broader uptrend.
-MW
🔍 Technical Highlights
Breakout Above Multi-Month Resistance: Price has cleanly broken above the key $35.00 zone, which had capped upside since late 2023. The breakout follows a tight consolidation range, suggesting a measured accumulation phase has ended.
Moving Averages Aligned Bullishly:
The 50-day SMA is rising sharply and sits well above the 200-day SMA.
Price is comfortably trading above both averages, confirming a strong uptrend structure.
MACD in Strong Positive Territory: MACD has surged above its signal line, reinforcing bullish momentum. No signs of a bearish crossover in sight.
RSI Enters Overbought Zone: RSI is currently near 70. While this signals strong momentum, it also raises the potential for short-term cooling or consolidation before any continued leg higher.
⚙️ Outlook
The breakout above $35.00 represents a major bullish development, potentially opening the door to further upside exploration. The impulsive nature of recent gains, combined with rising momentum indicators and trend-confirming moving averages, all favor the bulls. However, the overbought RSI suggests the possibility of a short-term pullback or sideways consolidation before the next move higher.
Traders may want to monitor for a potential retest of the $35.00 area as support, which could offer a higher-probability continuation setup within the broader uptrend.
-MW
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.