Silver Price Eyes $37.75 as 9.2% Rally Meets Triangle Breakout Setup

Silver (XAG/USD) is trading just above $36.10 after a strong 9.2% monthly gain, consolidating within a symmetrical triangle pattern...

Quick overview

  • Silver (XAG/USD) is currently trading above $36.10 after a notable 9.2% monthly gain, consolidating within a symmetrical triangle pattern.
  • The metal faces resistance at $36.80 and support at $35.74, with the 50-period EMA at $36.17 serving as a key pivot level.
  • A stronger U.S. dollar, driven by positive labor market data, is applying short-term pressure on silver, despite supportive broader fundamentals.
  • Traders are closely monitoring upcoming Fed comments and economic reports for potential market direction, particularly around the $36.81 breakout zone.

Silver (XAG/USD) is trading just above $36.10 after a strong 9.2% monthly gain, consolidating within a symmetrical triangle pattern that signals potential breakout pressure. The metal remains caught between resistance at $36.80 and support at $35.74, while the 50-period EMA at $36.17 acts as a key pivot level.

What’s keeping silver in check? A stronger U.S. dollar is weighing on the metal after better-than-expected JOLTS job openings (7.76M in May vs. 7.3M expected) and rising labor market demand. A firmer greenback makes silver more expensive for foreign buyers, applying short-term pressure.

Still, broader fundamentals remain supportive. Improving industrial demand, geopolitical tension over the Strait of Hormuz, and a cautious Fed are keeping safe-haven interest alive. Traders now await comments from Fed officials Bostic and Goolsbee, plus today’s ADP jobs report, for clues on the Fed’s next move.

Fed Uncertainty, Geopolitics, and Demand Trends

While the recent U.S.-China trade agreement and a Middle East ceasefire have softened some risk, safe-haven flows haven’t disappeared. Reports that Iran prepared to mine the Strait of Hormuz—even if not executed—have kept geopolitical tension on the radar. Trump’s latest comments on Iran’s nuclear ambitions only add to the backdrop.

Meanwhile, industrial demand is quietly building momentum. The Silver Institute projects record global demand in 2025, led by the photovoltaic, electronics, and silverware sectors. These fundamentals give silver long-term upside even as short-term technicals compress.

Technical Levels: Breakout on Watch

Silver’s symmetrical triangle continues to tighten. The MACD is flat but coiling, suggesting momentum is ready to shift once direction is confirmed. Price remains just below dynamic resistance at the 50-EMA.

Silver Price Chart - Source: Tradingview
Silver Price Chart – Source: Tradingview

Key Levels to Watch:

  • Resistance: $36.81 → $37.29 → $37.75
  • Support: $35.74 → $35.29 → $34.78

Scenarios:

  • Bullish Breakout: A strong move above $36.81 could trigger an extension to $37.75.
  • Bearish Rejection: Failure to break the triangle top could send silver back to $35.29.

Conclusion:

Silver (XAG/USD) is holding its ground following a solid monthly rally; however, the next price action depends on how the market reacts to incoming US NFP figures and Fed signals. With price trading tightly and momentum building, traders should keep a close eye on the $36.81 breakout zone. Whether you’re bullish on safe-haven flows or industrial strength, silver’s setup offers a clear technical roadmap.

ABOUT THE AUTHOR See More
Arslan Butt
Lead Markets Analyst – Multi-Asset (FX, Commodities, Crypto)
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics. His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker. His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

Related Articles

HFM

Doo Prime

XM

Best Forex Brokers