FX.co ★ Kemie | XAG/USD, SILVER

Silver Price Forecast: This analysis of silver's price movement has been controversial. Silver prices are expected to continue to rise. On the 4-hour chart, we identified a three-wave pattern starting from the support level at 78.619. This will form during a bullish trend. If conditions improve, prices will rise and break through the resistance at 81.357. Once prices move more than halfway through this distance, existing long positions can be taken in profit and stop losses can be adjusted upon a breakout. On the daily chart, a downward wave structure is beginning to form for silver. The MACD indicator is currently falling below its signal line into a sell-down zone. A third wave has formed, with optimal entry points at the resistance zones of 81.197 and 80.847.

After confirming this third wave, prices rose and broke through this zone. 81.197 was the most favorable selling point at the beginning of the month, but prices have since fallen in line with the technical indicators. Applying a Fibonacci grid to the first wave reveals that the 161.7 level is within striking distance. This Fibonacci target level is exactly aligned with the technical indicator at 78.197. This level is very strong and has been surpassed on both the daily and weekly charts. Initially, the price failed to reach this target level, dropping to 79.908. This minor breakout can be explained by an error at this level. This pullback positions the market and the Fibonacci grid to reach 161.7. The price will likely attempt to break below this level, providing a good opportunity to observe a false breakout that could lead to a partial correction upside.