Silver Price Recovers From 2026 Low, but April Arrives With a 36% Downside Threat
Silver has bounced 18% from its 2026 low, supported by technical divergence and shifting speculator positioning, but faces a potential 36% breakdown.Summary
Silver (XAG/USD) has recovered approximately 18% from its recent low of $60, currently trading above $72, supported by a hidden bullish divergence on the RSI since December and an increase in non-commercial long positions reported in the latest CFTC Commitments of Traders (COT) data.
Despite this bounce, the daily chart still suggests a bear flag pattern, posing a potential 36% downside risk. The US Dollar Index (DXY) remains strong, though silver's recent concurrent rise with the dollar suggests a loosening correlation near the bottom. However, silver's underperformance relative to gold over the past month keeps the recovery fragile.
The critical level for April is $74; a daily close above this resistance could lead to targets near $88.96, invalidating the bear flag. Conversely, a bearish EMA crossover or a close below $68 could trigger the downside move, targeting levels around $66, $60, or potentially $52 if the full 36% measured move is realized.
(Source：BeInCrypto)