Marina Lyubimova
Silver continues trading under pressure after failing to hold above the $83 level, signaling that sellers remain in control during this corrective phase. After forming a high near $120 and sweeping liquidity, the precious metal experienced a sharp selloff that pushed prices into key demand territory. Now, the market sits in a critical zone where the next move could determine whether silver revisits lower support or attempts another rally toward resistance.
Silver Rejects $83–84 Supply Zone After Sharp Decline from $120 High
Following a strong peak near the $120 area, silver saw aggressive selling that marked a clear structural shift on higher timeframes. The decline extended into the $64–66 higher timeframe demand zone, where price printed a weak low before bouncing back.
The decline extended into the 64–66 higher timeframe demand zone, where price printed a weak low and produced a strong reaction before rebounding.
However, the rebound hasn't shown real conviction. Instead of a clean impulsive move higher, XAG has been grinding through a corrective phase with repeated internal changes of character and struggles to stay above key supply zones. Most recently, price tapped the $83–84 supply area before printing a bearish reversal and rotating lower once again. This reinforces the view that we're seeing distribution during a correction rather than a confirmed trend reversal. A similar resistance-focused setup was described in Silver Stalls at $83 Resistance as Price Consolidates Near $81 Balance Zone.
What's Next for Silver? Key Levels to Watch
Right now, immediate resistance sits at $83–84, while a broader 2-hour supply region is located around $90–92. On the downside, near-term support is marked at $75–76, with liquidity potentially opening toward $72 if that level breaks. The larger demand zone remains intact at $64–66. Context for silver's recent volatility was also covered in XAG/USD Drops 26% in Historic Daily Selloff.
Silver is compressing between overhead supply and underlying demand inside a broader bearish structure. The next directional move depends on whether price breaks below near-term support to target lower liquidity and demand, or reclaims and holds above $84 to shift focus back toward higher supply zones.
Marina Lyubimova
