Eseandre Mordi
⬤ Silver just posted a new high on the daily timeframe before reversing hard—volatility in precious metals is through the roof right now. The recent price action has traders split: bulls are hyped despite all the bearish noise out there. The XAGUSD daily chart shows silver ripping into early February, then getting slammed with a steep sell-off that wiped out a big chunk of the gains.
⬤ The chart shows a powerful multi-month rally that kicked off in early 2025, with silver climbing steadily from the low 30s toward the upper channel boundary. Moving averages were trending up, structure looked solid. Price briefly broke above the upper trend channel before running into aggressive sellers—resulting in a sharp drop that snapped the short-term momentum.
⬤ But here's the thing: the broader trend isn't dead yet. Silver's still sitting above its longer-term moving averages, which are still pointing up. Key levels around the mid-70s and low-60s zones are holding—areas that used to be resistance on the way up. The size and speed of this drop screams volatility, not necessarily a full trend reversal.
⬤ Why this matters: sharp pullbacks after new highs test whether traders still believe in the move. These swings can mess with sentiment fast and crank up uncertainty short-term. How silver stabilizes after this volatility spike could shape momentum and risk appetite across precious metals—especially with broader financial conditions still shaky.
Eseandre Mordi
