Silver Eyes 200-Day Moving Average as Bullish Breakout Continues

Silver prices are poised to continue their upward trend after breaking through a key short-term resistance level. The metal's price has been steadily increasing since its July low of $54.78, with last week seeing a higher swing low of $62.31 established.

This move is significant as it completes a 61.8% Fibonacci retracement of the prior advance and successfully tests support at the 50-day moving average. The 20-day moving average near $65.81 can be used as a rough proxy for the trendline, which silver has reclaimed control over.

Monday's price action retained strength with silver consolidating in a relatively narrow range above the two trend indicators. However, Friday's levels have greater significance, with resistance at $67.34 and support at $65.26.

The key resistance challenge for silver is going to be the 200-day moving average, now near $73.14. A rally above this level will signal a continuation of the second bullish advance since the July low, potentially exceeding the August high of $71.18.