FX.co ★ Helsinki | XAG/USD, SILVER

The daily chart shows that silver is moving inside a rising channel pattern, which tells us bulls are still in control. On the H1 chart, the 200 SMA sits at $75.00, acting as a strong support level far below the current price. The 50 SMA on the same chart is at $80.30, sitting well below the current price and working as nearby support. On the H4 chart, the 200 SMA is at $74.90, serving as deeper support. The 50 SMA on the H4 chart is at $74.00, adding another layer of support below. The current price of $85.80 is trading well above all four moving averages, a clear sign that the bullish trend remains very strong. On the downside, the key support areas are as follows. First support is at $84.50 to $85.00, representing the immediate downside cushion just under the current price. Second support is at $83.00 to $83.50, marking a middle zone before deeper levels. Third support is at $81.50 to $82.00, a strong demand area from past trading. More support levels include $80.30 to $80.80, $79.00 to $79.50, and the rising channel bottom near $77.00 to $78.00. On the upside, the key resistance areas are as follows. First resistance is at $86.50 to $87.00, the big psychological barrier just above the current price. Second resistance is at $88.00 to $88.50, a recent peak and supply zone. Third resistance is at $89.00 to $89.50, representing a major round number and ceiling. More resistance levels include $90.00 to $90.50, and the rising channel top near $92.00 to $92.50. Silver picked up after a weak start to the week, helped by a softer dollar.

The metal picked up after a weak start to the week, helped by a softer US dollar. But there are still big challenges ahead. The ongoing uncertainty caused by the US-Iran war has made inflation fears worse, driven by high oil prices. This limits how high silver can go and keeps pressure on major central banks to keep borrowing costs high. Hopes for a recent peace deal were dashed after President Trump rejected Iran's response to a US-backed proposal to end the war. Trump called the response "completely unacceptable" on Truth Social. Iranian state media said Tehran's proposal included a demand for US compensation for war losses and a focus on Iran's control over the Strait of Hormuz. Iran's foreign ministry spokesman said Monday that Tehran was simply trying to protect its rights and had made "generous and responsible" suggestions to the United States. He also said Iran's offer was not too much and accused Washington of making "unreasonable demands." On top of all this, negotiations about Iran's nuclear program remain unsolved. This adds to the uncertainty about how long the US-Iran war might last. It also keeps alive the worry about supply disruptions through the Strait of Hormuz, which means oil prices keep reflecting a geopolitical risk premium. So what does this all mean for silver prices? The most likely path ahead is more upside, but with bumps along the way. The rising channel pattern on the daily chart tells us the trend is still up. But the inflation fears and high interest rates could limit the gains. For traders, the key level to watch is $85.00 support. A hold above keeps the bullish trend alive, with targets at $86.50, $88.00, and then $89.00. A break below $85.00 would signal a pullback, with first support at $83.50, then $82.00, and then the rising channel bottom near $77.00. All eyes are now on US-Iran news. Any signs of a peace deal would lower oil prices and could hurt silver. Any more fighting or failed talks would keep the geopolitical risk high, supporting silver prices.