$xag

$silver
Silver (XAG/USD) – Monthly Technical Analysis
Silver has delivered a strong impulsive rally, completing what appears to be a five-wave advance on the monthly timeframe. The recent vertical move reflects aggressive buying momentum, but price is now approaching a major long-term supply zone where historical selling pressure could emerge. Such parabolic advances are often followed by a period of consolidation or a corrective phase before the next sustainable trend develops.
From a wave perspective, the current structure suggests that Wave (5) may be nearing completion. A pullback toward the $58–61 region would be technically healthy, allowing the market to unwind overbought conditions while testing previous breakout levels. Failure to hold this area could extend the correction toward the monthly demand zone around $47, which remains the key support for maintaining the long-term bullish structure.
If buyers successfully defend the demand zone and accumulation resumes, Silver could spend several months trading within a broad range before attempting another breakout. A decisive close above the long-term supply zone would invalidate the corrective outlook and open the path toward the $68 region initially, with the possibility of an extended move toward $120+ over the longer term.
Overall, patience is essential. Chasing price after a near-vertical rally carries elevated risk. The preferred strategy is to wait for confirmation of a corrective pullback into support before positioning for the next major leg higher.