Silver Price Forecast – June 10, 2025: Bearish Pressure Beneath $36.80 Confirmed by RSI
As we head into mid-June 2025, silver (XAG/USD) is showing signs of weakening momentum, trapped in a narrow consolidation band. The precious metal currently faces strong resistance at the $36.80 pivot, and technical indicators suggest that a bearish reversal is gaining traction.
Silver’s price action reflects a cautious market sentiment amid mixed global economic signals and fluctuating demand for safe-haven assets. While consolidation has defined the recent trading sessions, the relative strength index (RSI) shows bearish divergence, hinting at a potential continuation to the downside.
📌 Intraday Silver Analysis: Key Levels for June 10, 2025
- Pivot Point: $36.80
- Bearish Scenario (Our Preference):
- Entry: Short positions below $36.80
- Target 1: $36.15
- Target 2: $35.85
- Bullish Alternative Scenario:
- Entry: Long positions above $36.80
- Target 1: $37.15
- Target 2: $37.50
- Technical Commentary:
The RSI remains below the neutral 50 level, confirming the lack of upside momentum. While consolidation is ongoing, the bias clearly favors a downside breakout unless bulls reclaim $36.80 with conviction.
Why Silver Is Under Pressure Today
Several key drivers contribute to the current consolidation and bearish bias in silver:
1. Strong U.S. Dollar
The U.S. Dollar Index (DXY) remains firm due to hawkish Federal Reserve commentary. A stronger dollar typically puts downward pressure on dollar-denominated commodities like silver.
2. Diminishing Industrial Demand
Concerns over slowing global manufacturing, especially from China and Europe, have subdued silver’s industrial demand component—important for this dual-use metal.
3. Weak Technical Momentum
Silver has failed multiple times to break through the $36.80–$37.00 zone, forming a resistance ceiling. The lack of follow-through buying is causing traders to lean toward short setups.
Technical Indicators Overview
| Indicator | Signal |
|---|---|
| RSI (14) | 44 – Bearish |
| MACD | Neutral, slightly bearish crossover |
| Moving Averages (50/200) | Trading near the 50-MA, but below the 200-MA |
| Bollinger Bands | Narrowing, suggesting imminent breakout |
Silver Trading Strategy for June 10, 2025
✅ Preferred Strategy: Short Below $36.80
- Enter short positions if price fails to reclaim $36.80.
- Use tight stops above $37.00 to reduce risk exposure.
- Watch for momentum confirmation using RSI (remaining below 50) and MACD crossovers.
⚠️ Alternative Long Strategy: Above $36.80
- If silver decisively closes above $36.80, consider bullish entries.
- Monitor a break above $37.15 for confirmation of bullish momentum.
Fundamental Factors to Watch
- U.S. CPI & Fed Policy Expectations
- Inflation data could drive the next move in silver, especially if it shifts Fed rate hike expectations.
- Geopolitical Uncertainty
- Rising tensions in the Middle East or trade-related disruptions may increase safe-haven demand.
- Global Manufacturing PMI Data
- Soft economic activity may limit industrial demand, capping silver prices.
Silver Price Levels to Watch
| Level | Type | Importance |
|---|---|---|
| $37.50 | Resistance | Strong |
| $37.15 | Resistance | Moderate |
| $36.80 | Pivot | Critical |
| $36.15 | Support | Moderate |
| $35.85 | Support | Strong |
Outlook for the Rest of the Week
While short-term consolidation continues, the broader technical picture leans bearish unless silver breaks and holds above the $36.80 pivot. Traders should stay alert to macroeconomic data releases and dollar strength, both of which can trigger swift moves in precious metals.
If the $35.85 support breaks, a deeper retracement toward the $35.00 zone may follow. Conversely, a break above $37.50 would negate the bearish bias and suggest a renewed rally.
Frequently Asked Questions (FAQs)
Q1: Is silver a good buy right now?
Silver is currently consolidating with a bearish bias. Traders should be cautious and look for a confirmed breakout before taking large positions.
Q2: What is the main support level for silver today?
Support lies around $36.15 and extends to $35.85. A break below these levels would confirm further downside.
Q3: What could trigger a bullish reversal in silver?
A sustained break above $36.80 followed by strength above $37.15 could confirm a bullish reversal.
Q4: How does the RSI affect silver trading decisions?
The RSI helps identify momentum. Currently, it’s below 50, signaling bearish momentum.
Q5: What macroeconomic events should silver traders watch?
U.S. inflation data, Fed policy statements, and industrial demand forecasts are crucial for silver’s short-term trajectory.
Disclaimer
This analysis is intended for informational and educational purposes only. It does not constitute investment advice, trading recommendations, or financial guarantees. Markets are inherently risky and volatile—always conduct your own research or consult a licensed financial advisor before making trading decisions.
