Silver Price Forecast: XAG/USD Hits Record Territory, Eyes Extension Beyond $61.00

Silver extends its impressive rally and achieves fresh historical peaks amid strong bullish momentum.

Technical indicators suggest upside bias remains intact for white metal bulls.

Dips could present buying chances and resistance levels should contain downside pressure.

The XAG/USD pair is currently consolidating near its all-time highs in the $61.00 zone following Wednesday’s breakthrough move. The broader technical landscape points to sustained strength in white metal, with the path tilted toward higher levels.

Breaking Through Critical Resistance

The breakthrough above the $58.80-$58.85 trading range boundary represents a significant development for silver bulls. This breakout has energized the uptrend and attracted fresh buying interest. The white metal’s ability to sustain levels above this key resistance signals confidence among participants betting on continued appreciation.

Technical Setup Cautions

While the constructive bias remains in place, traders should note that momentum indicators are flashing elevated readings on the 4-hour and daily timeframes. The Relative Strength Index is showing overbought extremes, which typically warrants caution before fresh long positions are initiated. This suggests prudence in waiting for either consolidation activity or a modest pullback before committing new capital to additional bullish bets.

Support Levels and Pullback Scenarios

Should the XAG/USD experience a corrective setback, the $60.30-$60.20 area represents the immediate support zone. Traders would likely treat any dip toward the $60.00 psychological level as an attractive entry point for bottom-pickers.

A more pronounced decline that decisively breaks below $60.00 could expose the $58.80-$58.85 region—the previous breakout point—which would serve as a critical inflection area. Failure to hold this level might trigger further liquidation and extend losses.

Upside Potential

Conversely, a convincing advance above $61.00 would reinforce the bullish narrative and potentially unlock a sustained rally. Such a move would continue the impressive appreciation from the October swing lows near the mid-$45.00s, underscoring the magnitude of silver’s move over recent months.

Trading Perspective

The technical setup favors directional traders who are long, though near-term consolidation remains the most likely near-term outcome given overbought conditions. Corrections should be viewed as opportunities rather than harbingers of trend reversal, maintaining the constructive outlook for white metal buyers in the intermediate term.