Usman Salis
Silver (XAG) has entered one of its most important trading periods in modern history. For the second month in a row, the metal has pushed into the $50 resistance zone—a level it hasn't closed above monthly for over four decades. Traders are watching to see if this uptrend can finally secure a confirmed close beyond the threshold that's defined silver's behavior since 1980.
Silver Approaches a Level Never Closed Above
Silver has never recorded a monthly close above $50, despite two major rallies in 1980 and 2011 that briefly pierced this level. October 2025 failed to close above $50. Now November shows silver trading around $51.45, but the monthly candle is still open.
The chart shows price has surged through prior resistance and entered a pivot zone spanning $48 to $52. This zone represents a multi-cycle top where both historical peaks printed long upper wicks before sharp reversals.
Chart Analysis: Momentum High, Confirmation Pending
The chart shows a dramatic acceleration from the mid-$30s into the $50 region throughout 2024-2025. Candles have elongated significantly, reflecting strong buyer dominance and expanding volatility. Price is now firmly inside the pivot area that has rejected every silver bull market for more than 40 years.
Historic Significance of the $50 Region
The 1980 peak went above $50 intramonth but had no monthly close, while 2011 approached $50 before a sharp reversal. Now in 2025, we're seeing repeated tests of the same barrier. This makes the level more than psychological—it's a structural threshold shaped by decades of supply-demand dynamics.
Expectations Before a Confirmed Close
Until a monthly close is confirmed, price may fluctuate within the $48-$52 zone. Past cycles showed heavy volatility and failed closes, and current wicks show both rejection attempts and aggressive re-tests. Silver may oscillate inside this area before determining direction.
What's Driving Silver Higher?
Industrial demand is expanding as the solar sector grows globally. Inflation expectations and monetary shifts have redirected flows into precious metals. Silver mining output has plateaued, intensifying sensitivity to demand spikes. Gold's record highs in 2024-2025 have catalyzed this delayed but powerful silver rally.
Usman Salis
