FX.co ★ XAG/USD, SILVER

Silver (XAG/USD) prices encountered a period of consolidation after a vigorous four-day rally, retreating slightly to trade near $88.20 per troy ounce during the early European session on Tuesday, February 24, 2026. This minor pullback follows a volatile month in which the metal has been significantly influenced by the "tariff chaos" in the United States and the heightening of military tensions in the Middle East. Despite the daily dip, the technical framework on the daily chart remains constructive. The 14-day Relative Strength Index (RSI) is currently positioned at 54, a neutral reading that nonetheless stays comfortably above the 50-midline, suggesting that the broader positive momentum has not been extinguished. Silver continues to hold its ground above key technical benchmarks, specifically the 9-day and 50-day Exponential Moving Averages (EMAs). These averages are currently acting as a tiered support structure; while the 50-day EMA provides a medium-term floor for the recovery, the more reactive 9-day EMA serves as an immediate cushion for short-term retracements. The technical alignment of these moving averages is particularly noteworthy for bullish investors. Both the 9-day and 50-day EMAs are trending upward, and a recent "bullish cross"—where the shorter-term 9-day average moved above the 50-day line—reinforces the current upside pressure. This configuration suggests that the market is attempting to stabilize and potentially build a base for a renewed assault on higher price levels. Specifically, the technical setup appears geared toward a potential retest of the region surrounding silvers historic all-time high of $121.66, a peak reached on January 29, 2026, during a period of extreme market squeeze. The current recovery phase reflects a market that has found equilibrium following the sharp correction that saw prices plummet to a two-month low of $64.08 in early February. However, for this bullish thesis to remain valid, silver must defend its current support levels vigorously. The initial line of defense is the 9-day EMA, currently situated near $83.03, followed closely by the 50-day EMA at $80.15. These levels represent critical psychological and technical zones; as long as XAG/USD maintains a daily close above $80, the medium-term outlook remains tilted toward growth. Conversely, a decisive break below these moving averages would signal a significant deterioration in the price structure, likely opening the door for a retest of the $64.08 support level and potentially challenging the $60.00 psychological mark. Investors remain focused on the interplay between the safe-haven demand generated by U.S.-Iran tensions and the industrial demand tied to the global renewable energy sector, both of which continue to make silver a highly sensitive and volatile asset in the current fiscal climate.