Saad Ullah
⬤ Silver futures are hanging around their recent highs following a solid December push, with XAG trading just above $71 on COMEX charts. The rally's been climbing in steady waves, and Fibonacci extension zones are pointing toward potential targets in the mid-to-upper $70s. While there's still room for one more leg up, the momentum at these levels is starting to look a bit stretched. Traders are now eyeing nearby support zones to see if this latest run might be running out of gas.
⬤ The technical setup shows silver moving through a structured wave pattern, with recent price action pulling back from the latest peak toward a key retracement zone around $70. Fibonacci levels at roughly $70.71 and $70.23 mark where this pullback could naturally pause before any attempt to push higher. The $70.23 level is particularly important—if silver breaks below that and stays there, it could be an early sign that a top is already in. Below that, the $68.70 area would confirm things are shifting if the metal drops further.
⬤ That said, the chart still leaves room for another push higher if the current pullback holds above $70.23. Fibonacci extensions suggest potential upside targets around $73.80, $76.08, and even near $80 if momentum picks back up. But the overall tone is more cautious now—silver's been one of the most watched commodities this month, and how it behaves around these support levels could shape sentiment across the broader precious metals market. A hold above key support keeps the door open for more gains, while a confirmed break lower might signal the rally's shifting into consolidation mode.
Saad Ullah
