The silver price is back near one of the most important zones on the chart, and traders are starting to get cautious. After a massive rally over the past year pushed silver into the $85–$89 range, price is now pressing against the upper boundary of a long-term rising channel that has controlled the trend for months.
Analyst Northstar pointed this out in a recent chart update, where silver was shown testing resistance once again. The chart includes a large green arrow projecting a possible breakout higher, but there’s an important catch, the breakout still hasn’t been confirmed.
This is important considering that previously, there have been difficulties in the silver price in relation to the current price range. There is an effort by buyers to move up, while the sellers resist by maintaining their position at the channel top.
What you'll learn 👉
Macro News Is Still Moving the Silver Market
This week saw silver react to news in macroeconomics too. The silver price was falling toward $85.6 an ounce due to the fact that market players were concentrating their attention on talks held by U.S. President Donald Trump and Chinese President Xi Jinping.
According to Trump, Xi had offered help in dealing with the issue concerning Iran, yet he also noted that disagreements over Taiwan would also create trouble for the two nations.
What is more, trade figures from the United States indicated higher than forecast growth in import and export prices; thus, fuel import prices were up, export prices grew, and market expectations for cuts in interest rates by the Federal Reserve were revised.
At this moment traders see a chance of an increase in interest rates by as much as 30% before the end of this year. Usually such conditions push prices down in the metals market. However, the price of silver can rely on industrial demand.
Silver continues benefiting from demand tied to electronics, solar panels, and green energy infrastructure. Analysts still expect silver to average between $75 and $81 per ounce this year, even after India increased import duties on gold and silver from 6% to 15%.
The Silver Chart Still Looks Bullish
We had a look at the silver chart shared by Northstar, and the bigger picture still looks bullish even though the market is running into resistance right now. Silver has been trading inside a rising channel for most of 2026, steadily printing higher highs and higher lows as buyers kept stepping in on dips.
The lower boundary of that channel has worked as strong support several times already. Each time silver pulled back toward the lower yellow support zone, buyers defended it and pushed price higher again. That structure helped drive the silver price all the way into the current $85–$89 range after the huge rally from much lower levels in 2025.
At the moment, silver is pressing right against the upper resistance line of the channel near the $89 area. The chart even indicates this zone with a black circle, showing that price is consolidating directly underneath resistance instead of breaking through cleanly.
That’s where the green arrow on the chart comes in. It points toward a possible breakout continuation higher, but the analyst also made it clear that the move is not confirmed yet. Traders still want to see a strong 4-hour or daily close above the upper trendline before treating this as a real breakout instead of another rejection.
Read Also: Silver Price on Alert as China’s Silver Imports Hit Record – Panic Buying Underway
Where Could Happen to Silver Next
Right now, everything comes down to confirmation. If the silver price finally breaks above the upper channel resistance with strong volume and follow-through, buyers could quickly target another leg higher.
In case of another failure in breaking out, the silver price might become less volatile and revert to its mean or lower range for another attempt in the future. This won’t affect the overall bullish trend in the long run but will only delay its formation.
For now, the bigger trend still looks constructive. The silver price continues trading inside a bullish structure supported by strong industrial demand and ongoing supply deficits. The only thing missing is a confirmed breakout above resistance.
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