Technically, silver’s retreat from $39.53 has broken near-term support at $37.50 and now threatens a deeper pullback unless the 50-day SMA holds.
The $36.50 level is acting as a temporary floor, with the next key level lower at $35.28 if selling resumes.
On the upside, bulls would need a recovery above $38.51 to regain control, a level that previously served as resistance before the latest drop.
The broader trend remains positive as long as the 200-day SMA — now at $32.96 — stays intact, but short-term signals are deteriorating.
Outlook: Cautious Until Trade Uncertainty Clears
Silver’s near-term bias has turned defensive. The market remains vulnerable below $37.50, especially with industrial demand under threat from tariff uncertainty.
Unless trade tensions de-escalate or gold rallies significantly past $3303, silver is likely to remain rangebound to lower.
Traders should monitor the $36.50 support zone closely — a sustained break below this level could open the door to $35.28.
Until clearer signals emerge from the Fed or trade front, silver looks set for a choppy start to August.
More Information in our Economic Calendar.