XAGUSD: Correction May Be Over – Watch $37.60 BreakoutAfter reaching a local top around the $39.50 zone on July 24, Silver entered a normal corrective phase, with price dropping over 3,000 pips from top to bottom — roughly an 8% retracement.
📉 Despite the strength of the drop, the structure was clearly corrective, not impulsive. Even more, the move formed a descending broadening wedge, a pattern that often hints at a potential reversal.
📈 Yesterday, we saw a clean breakout above the wedge’s upper boundary — which may signal the end of the correction.
At the time of writing, price is trading at $37.45, right under a key horizontal resistance zone between $37.50 and $37.60.
A breakout above this level would confirm the low and likely initiate a new move toward the $38.70 resistance.
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🎯 Summary & Plan:
• A break above $37.60 = bullish confirmation
• Target: $38.70 (first resistance)
• Invalidation: If price drops below $37, bulls lose control
As long as price holds above the $37 zone, the technical outlook remains constructive, and traders could consider setups aligned with the upside scenario. 🚀
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