Silver Price Pulls Back from 12-Year High as RSI Signals Overbought Conditions

Silver Price Forecast: XAG/USD Pulls Back After Hitting 12-Year High

Silver Retreats After Hitting Multi-Year Peak Near $37.00

Silver (XAG/USD) has reversed from its highest level since February 2012, falling below the mid-$36.00s during early Tuesday’s European session. The white metal is currently down 0.80% for the day, with technical signals prompting some short-term profit-taking after a strong three-day rally.

The daily Relative Strength Index (RSI) shows slightly overbought conditions, which has led bullish traders to temporarily ease their positions. Despite this pullback, the broader technical setup still favors the bulls.

Pullback Seen as Buying Opportunity Near Key Support

Analysts suggest that any dip in silver prices may be limited and could present fresh buying opportunities. Immediate support lies around the $36.00–$35.90 range. A break below this could push XAG/USD toward the $35.60 level, and further down to the psychological $35.00 mark.

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Outlook Remains Bullish Above $35.00

So long as silver holds above the $35.00 pivotal level, the medium-term trend remains constructive. A confirmed drop below this zone would negate the current bullish outlook and open the door for deeper downside movement, favoring a shift in near-term sentiment toward the bearish camp.