Silver Price Forecast: Wedge Pattern Meets Bullish Momentum

Author: Bruce Powers

Published: April 20, 2026

Overview

The article discusses the current state of silver prices, highlighting a recent consolidation phase after a significant rally. Silver reached a high of $83.06, completing a 61.8% Fibonacci retracement of a prior downswing. The analysis focuses on the formation of a rising wedge pattern, which indicates potential upside continuation but also introduces downside risks if key support levels fail.

Key Points

• Silver has shown recovery strength, particularly after reclaiming the 100-day moving average, which has become a significant support level.
• A rising wedge pattern has formed on the daily chart, suggesting potential resistance near the 78.6% Fibonacci retracement level at $88.85.
• The article notes a historical context where a similar pattern led to a breakdown, indicating that traders should be cautious of potential bearish movements.

Technical Analysis

The analysis includes a detailed examination of the silver daily chart, where a small rising wedge pattern is identified. This pattern could lead to further strengthening towards the resistance level while remaining within the wedge's boundaries. However, the article emphasizes that the wedge is not confirmed until a decisive decline below the 10-day average occurs, currently around $77.13.

Trigger Levels

Key trigger levels to watch include:

• A bearish trigger would be a decline below the 10-day average at $77.13, which corresponds to the lower boundary of the wedge.
• A drop below last Tuesday’s low of $75.39 would further confirm a breakdown of the wedge pattern.

Conclusion

The article concludes that while the current wedge pattern presents potential bearish signals, the recovery of long-term indicators, particularly the 100-day moving average, suggests a bullish outlook in the near term. Traders are advised to monitor the key levels closely to navigate the evolving market conditions.

About the Author

Bruce Powers is a seasoned finance professional with over 20 years of experience in financial markets. He holds an MBA and is a CMT® charter holder, having worked as head of trading strategy at hedge funds and as a corporate advisor for trading firms.