Silver testing $60 support after that brutal weekly dump

[Robert Vance]

Ngl, the move on silver this week has been pretty rough to watch. Seeing it slide nearly six percent was a wake-up call, especially with that late drop on Friday while yields started creeping back up again. It feels like the air is getting sucked out of the room now that we are hovering right at the $60.50 level. I’m curious if anyone else is watching the order flow here to see if the bulls are actually going to step in or if this is just the start of a deeper retrace.

I’m really wondering if the $60 handle is going to hold as a solid floor or if we are looking at a classic bull trap setup before a bigger washout. The macro landscape is all over the place with those jobs numbers acting like a total wildcard, and I’m having a hard time gauging if the momentum is truly broken or if this is just a shakeout to gather liquidity before another leg up. Are you guys looking to scalp the bounce off this level, or are you waiting for a clearer trend reversal before jumping back in?

 

[Mason Brooks]

$60 support? Man, if that breaks we're heading straight to the shadow realm. Hope you guys kept your position sizes manageable on this one because catching falling knives in precious metals is how accounts get wiped out overnight. Where are your stops set?

 

[Noah Vance BR]

Where are your stops set?

Honestly Mason, if anyone is trading silver right now without a wide stop or tiny size, they're just asking to get nuked. The R:R on these vertical drops is terrible for longs anyway. I'm sitting on my hands until it proves it can actually hold a level, not just bounce off a dead cat.

 

[Owen Carter 27]

I'm sitting on my hands until it proves it can actually hold a level, not just bounce off a dead cat.

Smart move Noah. That weekly candle closed right on its absolute lows with virtually no lower wick. I don't care how major a horizontal support level is on paper, you don't buy into that kind of momentum. I'm waiting for a clean daily pin bar or a bullish engulfing to print at $60 before I even think about touching this. Right now, there's zero proof the buyers are actually stepping in.