Silver Price Forecast: The $50 mark determines the next direction of movement

Silver (XAG/USD) has lost ground after a rapid rise to 51.85 USD in Asian trading and is now trading below the psychologically important 51.00-dollar mark. This decline from the weekly high indicates initial profit-taking – whether it is a healthy consolidation or the start of a larger correction will be determined in the upcoming trading sessions.

The 50.00-Dollar Zone as a Critical Turning Point

The round figure of 50.00 USD is not just a psychological threshold – several technical factors converge here into a critical dividing line. The 100- and 200-period Simple Moving Averages gather in this area on the 4-hour chart, while an earlier support zone from earlier in the week intersects at this price level. For traders, this means: As long as silver remains above 50.00 dollars, current pullbacks can be interpreted as normal pauses within an intact upward momentum.

If this zone remains solid, temporary dips could even be used as buying opportunities – especially for those betting on the continuation of the broader uptrend.

The Risk Scenario: What Happens Below 50.00 Dollars?

A clear break below the 50.00-dollar mark – ideally with noticeable volume – would significantly weaken the technical picture. Then, the weekly low of 49.35 USD (marked on Tuesday) comes into focus, where the first support attempt could occur. If this point does not hold, silver would need to test the next defense line at 49.00 USD.

If the price falls even further, the path opens to deeper territory: the mid-48 zone awaits as the next support, followed by the round 48.00-dollar mark and finally the target zone between 47.15 and 47.10 USD. In this scenario, many late buyers of the recent rally would come under pressure – a classic shakeout situation.

The Upside Scenario: What’s Next?

On the upside, the nightly interim high around 52.45 USD forms the first significant hurdle. Breaking through this resistance signals to many market participants that the current pause is more of a breather than a trend reversal. The next targets then sequentially are:

  • 53.00 USD (round psychological mark)
  • 53.50–53.55 USD (resistance cluster)
  • 54.00 USD (target zone)
  • 54.35–54.40 USD (latest monthly high from the previous week)

If buying pressure persists, the silver price could quickly advance into the high 53s and low 54s in this scenario.

Silver Price Outlook at a Glance

The current market situation for XAG/USD is relatively clearly structured: the 50.00-dollar zone acts as a tactical key level for short-term traders. As long as this level holds, short-term pullbacks remain opportunities to buy at better prices – within the framework of a larger upward movement. A stable hold above 52.45 USD would give the bulls new room to maneuver and shift the odds significantly in their favor. Conversely, a stable break below 50.00 USD would tilt the risk-reward ratio noticeably in favor of the sellers and allow for deeper tests. For a solid silver price forecast, the development in these key areas remains the central observation point.

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