Silver (XAG/USD) Technical: Medium-term up trend remains intact, start of new bullish impulsive leg

[Redator]

This is a follow-up analysis and update of our prior report, Chart of the day – Potential bullish acceleration for Silver (XAG/USD) published on 18 June 2025.

Silver (XAG/USD) has staged the expected rally of 7.1% from 18 June 2025 to hit the predefined resistance of US$39.08 (printed a 14-year high of US$39.53 on 23 July) before it staged a corrective decline of -8.39% to hit an intraday low of US$36.21 on 31 July 2025.

Let’s now examine its latest medium-term multi-week directional bias from a technical analysis perspective.

Fig. 1: Silver (XAG/USD) medium-term trend as of 13 Aug 2025 (Source: TradingView)

Preferred trend bias (1-3 weeks)

The minor corrective decline from the 23 July 2025 high is likely to have ended, and Silver (XAG/USD) is likely in the process of shaping a potential new bullish impulsive upmove sequence within its medium-term and major uptrend phases.

Bullish bias with key medium-term pivotal support at US$37.00 and a clearance above US$39.53 sees the next medium-term resistances coming in at US$40.85 (Fibonacci extension and upper boundary of medium-term ascending channel from 7 April 2025 low) and US$42.14/42.74 (Fibonacci extension and upper boundary of long-term secular ascending channel from March 2020 low)

Key elements

• The 31 July 2025 low of US$36.21 confluences with the 50-day moving average and the lower boundary of the medium-term ascending channel from the 7 April 2025 low.
• The 4-hour RSI momentum indicator has continued to exhibit a bullish momentum condition and has not reached its overbought region (above 70 level).
• The relative strength chart of the Silver/Gold ratio has continued to trend steadily upwards since 4 August 2025, which suggests further medium-term outperformance of Silver against Gold.

Alternative trend bias (1 to 3 weeks)

A break below the US$37.00 key support invalidates the bullish scenario to kickstart another corrective decline sequence to expose the next medium-term support at US$35.45, and below it triggers a deeper slide to test the US$34.13 long-term pivotal support.

Opinions are the authors'; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. The provided publication is for informational and educational purposes only.
If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please refer to the MarketPulse Terms of Use.
Visit https://www.marketpulse.com/ to find out more about the beat of the global markets.
© 2025 OANDA Business Information & Services Inc.