Silver Price Forecast Summary

On July 14, 2025, silver prices experienced a significant movement, reaching a new trend high of $39.13 before encountering resistance and subsequently reversing sharply. The price fell to a low of $38.11 during the trading session, indicating potential further declines as the day progressed. The formation of a bearish shooting star candlestick pattern suggests that a drop below the day's low could trigger additional selling pressure.

Market Dynamics

The recent breakout for silver occurred the previous Friday, breaking out of a four-week sideways basing pattern. This breakout was characterized by strong buying momentum, with the closing price near the week's highs. However, resistance was noted around the $38.46 to $38.61 range, which is a critical zone for price action.

Short-Term Outlook

Despite the bullish breakout, the reaction at the midpoint of the rising trend channel indicates a potential exhaustion of buying momentum. Analysts suggest that a pullback to test the previous trend high around $37.32 is possible. The market's recognition of the trend channel structure implies that once a bearish retracement is complete, a continuation towards the top of the channel may occur.

Support Levels

From June 30 to July 10, silver found support around the lower uptrend line of the ascending channel. The retest of the 20-Day Moving Average (MA) prior to the recent price surge provided additional bullish signals. The convergence of the 20-Day MA with the uptrend line was a pivotal moment that led to the upward momentum in silver prices.

Conclusion

In summary, while silver has shown strong bullish tendencies, the recent price action suggests a cautious approach as it tests key resistance levels. Traders should monitor for potential pullbacks and the overall market sentiment to gauge future movements in silver prices.