Dmitri Lysenko
⬤ Silver just went through a massive reversal after touching $120, marking a brutal end to its epic rally. Prices tanked more than 30% from the top, getting rejected right at the upper edge of an ascending broadening wedge on the daily chart. The selloff came after silver pushed way above its long-term channel - classic overextension.
⬤ The chart clearly shows silver had been riding a clean ascending channel for most of the year. But things got spicy in the final stretch when price action exploded into an ascending broadening wedge - a pattern that screams volatility. When silver kissed that upper resistance near $120, sellers jumped in hard, triggering a vicious dump that wiped out a huge chunk of those gains.
The decline carried prices down into the $65 to $70 support zone, a level that previously aligned with the lower boundary of the wedge structure.
⬤ The drop slammed silver into the $65–$70 support zone, which lines up with the lower wedge boundary. From there, it bounced back toward the mid-$80s. That rebound shows some short-term strength, but silver's still trading well below its highs - momentum's clearly shifted from moonshot mode to correction territory.
⬤ This matters because silver was absolutely crushing it on the way to $120. The sharp reversal shows just how volatile things got around key technical levels. That $65–$70 zone is now the line in the sand hold above it and sentiment could stabilize, but break below and the entire uptrend could be in serious trouble.
Dmitri Lysenko
