Silver Price Forecast: Buyers stall near $70 after strong rally

Market impact: cautiously bullish but vulnerable to a near-term correction for XAG/USD.

Silver’s failure to clear the psychologically important $70 area after a strong rally suggests profit-taking and supply near the highs rather than an immediate loss of the broader uptrend. FXStreet places price around $69.17, with the upper Bollinger band near $70.86 and the 200-day moving average around $72.13; momentum remains positive, but an ADX near 24 points to only moderate trend strength.

The macro backdrop is mixed:

• Supportive: Reduced expectations of an imminent Federal Reserve rate hike, alongside the Treasury buyback announcement cited by the article, can ease financial conditions and support precious metals. Silver may also benefit if gold’s advance continues, given the strong cross-asset relationship between the two metals.
• Restrictive: A firmer US dollar increases the dollar cost of silver for non-US buyers and can limit upside. Elevated energy-related inflation risks are also important because they could keep the Fed cautious about easing, supporting real yields and the dollar.

Trading interpretation:

The immediate bias remains constructive while XAG/USD holds above the cited $68 100-day moving average. A sustained break above the $70–$70.86 region would improve the case for a move toward the approximately $72 200-day moving average. Conversely, rejection near $70 followed by a break below $68 would indicate that the rally is losing momentum and expose the roughly $63 middle Bollinger band as the next major technical area. These are scenario levels, not confirmed reversal points.

The key catalyst is the US macro calendar: the PCE price index on Wednesday, August 26, 2026, and Fed Chair Kevin Warsh’s Jackson Hole speech on Friday, August 28, 2026. Softer inflation or dovish Fed guidance would likely reinforce the bullish precious-metals narrative; hotter inflation or hawkish guidance could strengthen the dollar and yields, making a deeper silver pullback more likely.

Overall, the setup is bullish on a medium-term basis but technically extended in the short term. Confirmation requires either a decisive clearance of $70 or evidence that support near $68 is holding after any profit-taking.