Silver Breakout Looks Promising as Investors Bet on Metal Repricing

Gold

• Gold (XAU/USD) initially dropped from 3365 at the start of July to my 3283/3280 target on Wednesday & then recovered the losses in to the end of the week.
• In the end, we closed the week up $20 as we held a sideways range for 3 months.
• On Friday, we wrote: holding above 3330 (which was also yesterday's high) can target 3342/3345. However, a break above 3348 could be a buy signal targeting 3361/64.
• We reached 3368 on Friday before closing at 3355.
• As you know, with no clear trend or pattern, it's impossible to try to predict direction, and prices keep reversing after a big move. So I guess it's possible that we try to wipe out some of last week's gains at the beginning of this week.
• I think the key resistance for this week is at 3370/3374. If you want to try a short position, use a stop loss above 3380.
• A break higher should be a buy signal targeting 3390/95, and even 3300/3305 is possible for profit taking on long positions.
• Howeve,r failure to beat 3370/74 sees prices reverse to 3350/3346.
• A move below 3340 suggests further losses towards 3325.

Silver

• Silver (XAG/USD) broke above the June high at 3730/40 was a buy signal, and the weekly close above here was confirmation, initially targeting 3775/85.
  Well, what a reaction!! - Silver shot higher to 3853.
• I can only hope that silver is now building upside momentum after several long periods of consolidation.
• From May 2024 to June 2025, silver was trapped in a wide and volatile channel, which was very difficult to trade.
• After just 5 days breaking out above the channel in early June, Silver then consolidated for another 5 full weeks in a frustratingly narrow 100 Pip Range.
• Of course, it's entirely possible that silver just establishes another new range, but I'm trying to be optimistic and hope that this is the beginning of the acceleration of the bull trend.
• A realistic short-term target now would be 4120/4140, if you want to try to run a long position, and if you're not already in the position, you could try buying a break above last week's high at 3853.
• It is difficult to know where to put the stop loss order, but I could suggest below 3820.
• I think it's unlikely that we will revisit the previous high around 3730.
  But if we did see that level this week, it should be a good buying opportunity with a stop loss below 3710.