Technical momentum and softer US-China trade rhetoric drive silver to $87/oz, but overbought signals suggest near-term pullback risks.
Silver prices surged to around $87–88 per ounce, breaking past the $83–84 resistance zone, driven by technical momentum and pre-positioning ahead of US-China discussions. The rally, up 13% over five days, appears less tied to rate movements as yields firmed.
Industrial metals broadly gained traction, with softer US-China rhetoric on tariffs and supply chains potentially supporting further upside. However, silver’s industrial exposure leaves it sensitive to trade policy shifts.
Despite bullish momentum, the relative strength index (RSI) signals overbought conditions, raising risks of profit-taking. Support levels are seen at $81.10, $76–77, and $70, while resistance lies near $90 and $92.60.