Silver Market Analysis - January 2026

Market Overview

The silver market has recently experienced fluctuations, attempting to rally but ultimately facing resistance around the $80 mark. This resistance indicates a struggle for upward momentum, as the market has shown signs of slowing down.

Current Trends

Despite initial attempts to push higher, silver prices have retreated, suggesting that the market is grappling with the concept of "gravity" after a prolonged period of rising prices. The author emphasizes that continuous upward movement is unsustainable without sufficient market support.

Technical Analysis

The analysis indicates that the $70 level serves as a critical support floor for silver. The upcoming jobs report is likely influencing trader behavior, leading to cautious positioning in anticipation of potential volatility. The author expresses a bullish outlook, suggesting that any pullback towards $70 could present a buying opportunity.

However, a breakdown below $70 could trigger significant downward pressure, potentially leading to a correction towards the 50-day Exponential Moving Average (EMA) at approximately $61.73. The author advises against shorting silver at this time, highlighting the importance of monitoring market conditions closely.

Conclusion

In summary, the silver market is currently in a consolidation phase, with key levels to watch being $70 as a support and $80 as a resistance. Traders are advised to remain cautious and consider potential buying opportunities if prices approach the support level, while also being aware of the risks associated with significant market movements.