FX.co ★ sudheerkumar | New wave of futures

How to Trade Silver After its Bottoming Out and Rebound?

Silver traded today with a bottoming out and rebound pattern. The previous decline was mainly due to the release of negative news from Friday. When silver fell to around $65.5, it rebounded significantly, primarily due to buying support. Today's silver price action was very typical, a standard pattern of a false breakout followed by a rebound. In the Asian session, silver prices rose to around $66.8 before encountering resistance and falling back, quickly reaching a low of $65.5 before stabilizing. This deep bottoming out and rebound sends a very clear signal: silver has solid support below, and the sell-off was merely a false breakout to shake out weak hands, not a genuine trend weakening. Based on the current market structure, it's almost certain that the price won't make new lows today. The overall trading strategy should be to buy on dips. However, as the price approaches the intraday high, short-term upward momentum has slowed. Avoid chasing highs and going long; chasing the market at the end of a volatile session is extremely risky. Today, pay close attention to the support level in the 66-66.3 area, and the resistance level in the 67-67.5 area. I believe these two areas represent our trading opportunities today.