XAGUSD | Daily Technical Outlook
Market Structure
Silver (XAGUSD) remains in a broader uptrend supported by strong momentum from late November’s rally, but recent price action shows slowing bullish strength as the metal consolidates near the $58.30 – $58.50 zone.
After reaching multi-year highs around $59.30, buyers have struggled to extend the move, resulting in short-term sideways behavior visible across lower timeframes. This reflects cooling momentum, though the broader trend remains intact as long as price stays above key dynamic support levels.
Key Resistance Zone
Silver faces immediate resistance at:
- $58.80 – $59.20 (major top / breakout zone)
- $60.00 (psychological barrier)
A breakout above $59.20 would re-establish strong bullish sentiment and open the door toward $60.50 – $61.20.
However, failure to break higher signals potential for a deeper correction.
Key Support Zone
Silver is holding above immediate support at:
- $58.00
- $57.40 – $57.60 (short-term demand zone)
Below that, deeper corrective levels include:
- $56.50
- $55.80 (major pullback support on H4 & Daily)
A break below $55.80 would mark a structural shift and could trigger a sharper bearish retracement.
Expectations
Bullish Scenario (Primary Bias)
As long as Silver holds above $57.40, the broader bullish structure remains intact.
A move above $58.80 would target:
- $59.20
- $60.00
- $60.50 – $61.20
Momentum, however, is visibly slowing — so bullish continuation requires fresh buying volume.
Bearish Scenario (Alternative)
If price falls below $57.40, corrective pressure may deepen.
Downside targets:
- $56.50
- $55.80
A break of $55.80 would signal a trend change and open the path toward $54.50 in the coming sessions.
Outlook
Silver remains bullish overall but is showing clear signs of exhaustion below resistance. The metal is consolidating as the market waits for new fundamental drivers, including U.S. inflation data and bond yield direction.
A decisive break above $59.20 is needed to continue the uptrend.
A loss of $57.40 would shift momentum toward a corrective phase.
