Silver has hit a new high at $67.46 and continues to rise despite strong US Treasury yields and a robust Dollar. The upward trend is strong, with the overbought RSI suggesting that prices could climb toward $68.00. The economic landscape supports this increase, as US consumer sentiment is low and demand for durable goods is falling. Looking at the technical side, Silver prices could keep moving up, with targets around $68.00. If prices drop below $67.00, support levels are at $64.50 and $60.82, with a noteworthy milestone at $60.00. Silver is a valuable asset, historically used as a store of value and medium of exchange. It’s often sought for portfolio diversification or as a hedge against inflation. Various factors impact its price, including geopolitical issues, interest rates, and the strength of the US Dollar. Additionally, industrial demand, especially in electronics and solar energy, can influence prices. Silver pricing often mirrors Gold, sharing similar safe-haven traits. The Gold/Silver ratio helps measure their relative values. Changes in this ratio can show whether one metal is undervalued compared to the other. Silver has just reached a new record high near $67.50, indicating strong buying interest. Although the Relative Strength Index is high, the upward trend suggests traders may still push prices toward $68.00. This setting is ideal for short-term bullish strategies. The recent price rise coincides with weak economic data, including a disappointing jobs report for November 2025, which only added 95,000 jobs against expectations. Additionally, a recent University of Michigan survey showed a drop in consumer sentiment, reinforcing the case for precious metals. These signs of a slowing economy may restrict the Federal Reserve’s ability to maintain a hawkish stance. With this strong upward trend, buying call options with strike prices at or above $68.00 could be a smart move to seize future gains. However, the overbought situation means we should keep an eye on the $67.00 level for any signs of a reversal. If prices drop below this support, put options targeting near the December 19 low of $64.50 could become more appealing. We should also consider that silver’s industrial demand remains strong due to the global shift toward green energy. Data from the third quarter of 2025 revealed a 15% year-over-year increase in global photovoltaic installations, a sector that heavily relies on silver. This industrial demand adds a solid price foundation, setting silver apart from purely monetary assets. The Gold/Silver ratio has decreased significantly, recently dipping below 40—for the first time since the price spikes in 2011. Historically, the average for the 21st century has been closer to 65, indicating that silver is currently outperforming gold. This trend could draw more momentum traders to silver, potentially widening its performance gap over gold in the short term.

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