Silver retreats from seven-week highs
Silver (XAG/USD) reverses sharply lower on Thursday after briefly testing $33.70, its highest level in seven weeks, showing signs of near-term fatigue after a strong upside breakout on Wednesday to trade around $32.95 during the American session. The pullback was driven by a mild rebound in the US Dollar and a technical rejection below the $34.00 psychological level near April’s high.
The pullback in the white metal was ahead of the US Purchasing Managers Index (PMI) release, indicating that the retreat is primarily technical and driven by early US Dollar stabilization and profit booking following a sharp breakout on Wednesday.
However, from a technical perspective, the broader trend bias still appears constructive, with Silver maintaining key structural support. The daily chart highlights a clean breakout from a multi-week symmetrical triangle formation, which had been compressing price action continuously since early May. Spot prices surged through the descending trendline resistance on Tuesday, with follow-through buying lifting the metal toward the $33.70 handle — a level not seen since early April.
Source : Fxstreet
