Trendline Breakout Meets Key Supply

Silver is showing signs of strength after reclaiming higher prices from the recent 4H demand zone. Price has now pushed into an important technical area where a descending trendline intersects with a previous resistance level around 59.80–60.20.

Market Structure

The overall short-term structure has shifted from lower lows into a sequence of higher lows, suggesting buyers are gradually regaining control.

Key observations:

✅ Price reacted strongly from the 4H demand/order block near 56.4–56.8
✅ Multiple higher lows have formed since the recent swing low.
✅ Buyers are attempting to break a descending trendline that has capped price since early July.
⚠ Price is now approaching an important resistance cluster.
Resistance Levels
Minor Resistance

59.80 – 60.20

This zone combines:

Previous swing highs
Trendline resistance
Psychological round number (60.00)

A decisive close above this area could improve bullish momentum, while rejection may lead to another pullback.

Major Resistance

62.80 – 63.20

This is the larger supply zone where sellers previously entered aggressively.

If buyers maintain momentum above 60, this region becomes the next area worth monitoring for potential reactions.

Support Levels

Immediate support sits around:

58.70 – 59.00

Below that:

56.40 – 56.80

This 4H demand zone previously attracted strong buying interest and remains an important support until invalidated.

Bullish Scenario

If price achieves a sustained breakout above 60.20, buyers may attempt to extend the move toward the higher resistance zone around 63.00.

Traders may prefer waiting for:

a confirmed candle close above resistance,
a successful retest,
and continued bullish market structure before considering continuation setups.
Alternative Scenario

Failure to hold above the breakout area could trigger profit-taking and a retracement toward:

59.00
or the 4H demand zone near 56.50.

As long as higher lows continue to develop, the broader recovery structure would remain intact.

What I'll Be Watching
Trendline breakout confirmation
Acceptance above 60.00
Volume expansion during breakout attempts
Price reaction inside the 62.8–63.2 supply zone

Key Levels

🔹 Resistance 1: 59.80–60.20

🔹 Resistance 2: 62.80–63.20

🔹 Support 1: 58.70–59.00

🔹 Support 2: 56.40–56.80

This analysis is for educational purposes and reflects one possible technical scenario based on current price structure. Markets are uncertain, and traders should use their own analysis and risk management before making trading decisions.