Technical analysis of Silver XAG/USD examines a potential bullish breakout from its 7-month range consolidation and its relative strength against Gold
Chart of the week: Silver
Silver (XAG/USD) was featured previously in our prior “Chart of the week – Silver (XAG/USD) is playing a potential bullish catch-up”, published on 17 February 2025.
Since our last publication, the “less shiny” industrial metal, Silver (XAG/USD) has staged a muliti-week rally to print an intraday high of US$34.58 on 28 March 2025 before it staged a corrective decline of -18.1% towards the 7 April 2025 intraday low of US$28.31(a potential medium-term bullish cycle low).
Have you read our monthly tactical view with charts on EUR/USD, AUD/USD and GBP/USD? Monthly Tactical Views (June)—“Sell America” moment may trigger further US dollar weakness
Fig 1: Silver (XAG/USD) medium-term trend as of 6 June 2025 (Source: TradingView)
Recent price actions of Silver (XAG/USD) have suggested a potential bullish breakout from its 7-month-plus range consolidation, which began on 22 October 2024 and ended on 5 June 2025.
Two key technical elements indicate the start of a new medium-term (multi-week) impulsive up-move sequence for Silver (XAG/USD).
Firstly, the daily MACD trend indicator has continued to trend upwards above its centreline since 2 June, which suggests its medium-term uptrend condition remains intact.
Secondly, the Silver-to-Gold ratio (relative strength gauge) has been forming a series of “higher lows” since 8 May and recently broke out to the upside, signalling the start of a potential phase where Silver may outperform Gold.
Watch the US$33.67 key medium-term pivotal support to maintain the bullish bias with medium-term resistances at US$37.77/38.30 and US$39.08.
On the flip side, failure to hold at US$33.67 key support invalidates the bullish scenario for a choppy corrective decline to expose the next medium-term supports at US$32.69 and US$31.67.
