Usman Salis
⬤ Silver (XAG) price has pushed through a critical inverse head and shoulders neckline level sitting near $79, pointing to a potential bullish reversal ahead. Сalled out the breakout, confirming a classic bottoming pattern that had been building on the charts. The move showed up clearly on the 1-hour timeframe, with price slicing through the descending neckline after some recent choppy action and volatility. This confirms what we've been seeing across silver markets - breakout dynamics playing out around major support and resistance zones.
⬤ The inverse head and shoulders setup featured a left shoulder bounce, a deeper dip down to around $64 that formed the head, and then a higher low creating the right shoulder - all beneath a downward-sloping neckline. Using standard measured move math, the gap between that $64 head low and the $79 breakout level projects a target sitting near $94. This target zone also lines up with likely overhead resistance around $92 where previous swing highs lived, matching up with technical zones flagged in recent silver coverage. Whether this breakout sticks depends entirely on silver holding above $79 if we see any pullbacks.
⬤ If silver keeps trading above this breakout area, the path toward $90+ would signal real upside momentum building for the metal. "The measured move from the head low to neckline break suggests room to run toward the mid-$90s," noted the analyst tracking this pattern. We've seen multiple technical setups on silver recently showing compression and breakout behavior around key trendlines and support, reinforcing that this isn't just a random spike - it's part of broader short-term bullish action. On the flip side, if price fails to hold above the neckline and reverses quickly back below $79, the inverse H&S pattern gets invalidated.
⬤ This breakout matters because silver's ability to hold above structural technical levels can shape broader trends across precious metals markets. If this breakout sticks, it could shift sentiment toward renewed bullish conviction after extended sideways grinding, while failure would signal more choppy range-bound conditions near critical price zones.
Usman Salis
