Silver prices rose Monday, breaking out of an inverse head and shoulders pattern. This technical move signals potential upside toward $94 and $100.
Silver broke out Friday above $79.50 and continued to advance. It reclaimed its 50-day moving average at $82.20 on Friday.
Monday’s trading saw silver recover its 20-day moving average at $85.53. It also moved past a lower swing high at $86.32, reaching a new 12-day high of $88.03. A daily close above $86.32 is needed to confirm this bullish pattern.
This bullish formation developed near the top of a long-term rising trend channel. A channel breakout in early December previously led to a record high of $121.67, followed by a correction to $64.06 three weeks ago.
The current price action marks a second upward leg. Analysts now point to a target zone between $92.87 and $94.24. This range aligns with a 50% retracement level, with higher targets near $99.66 and $100.29 also identified.