Silver: Tentative breakout above resistance – OCBC

OCBC’s Christopher Wong highlights a strong Silver rally, up over 7% and breaking the 83–84 resistance zone in what looks like a cleaner technical breakout. He attributes the move to momentum, short-covering, structural tightness and positioning ahead of Trump–Xi talks. He flags overbought RSI, with support at 81, 76/77 and 70, and resistance at 90 and 92.60.

Momentum and deficits support gains

"Silver extended its rally (up over 7% overnight), breaking above the recent $83–84 resistance zone in what tentatively looks like a cleaner technical breakout."

"The move is notable as it came despite firmer yields, suggesting the rally is being driven less by the usual rates channel and more by momentum, short-covering and potentially, pre-positioning ahead of the Trump–Xi meeting."

"Hopes for softer US-China rhetoric or some form of trade de-escalation are more directly supportive for silver, given silver’s larger industrial demand exposure across solar, electronics, EVs and broader manufacturing supply chains."

"Structural tightness is also helping the narrative, with the recent Silver Institute report still projecting a 6th consecutive annual deficit in 2026."

"Bullish momentum on daily chart intact though RSI pushed into near overbought territories. This can suggest that the rally may be vulnerable to profit-taking if the summit disappoints or if yields/USD push higher."

"Support at 81 (100 DMA), 76/77 (21, 50 DMAs) and 70 levels. Resistance at 90, 92.60 levels (38.2% fibo retracement of Oct low to 2026 high)."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)