From Strength to Weakness — Silver Struggles to Recover
Silver’s recent price action clearly reflects a shift from strength to weakness, driven primarily by macroeconomic forces rather than a collapse in fundamentals.
The combination of a strong US Dollar, elevated Treasury yields, and a hawkish Federal Reserve has significantly reduced the appeal of non-yielding assets like silver. Even traditional support factors such as geopolitical tensions and inflation concerns have failed to provide sustained upside, highlighting a change in market behavior where liquidity and returns are taking priority over safe-haven demand.
From a technical perspective, the breakdown below key levels, including the 100-day moving average, confirms that bearish momentum remains intact. As long as silver trades below critical resistance zones, any short-term recovery is likely to face selling pressure. At the same time, key support levels near $67.50 and $65 will play a crucial role in determining whether the current correction deepens further.
However, it is important to note that the long-term outlook for silver remains structurally supported by industrial demand, particularly from sectors like solar energy and electric vehicles.
👉 In the current phase, the market is not recovering — it is being tested.