Pan American Silver Corp. (PAAS), based in Vancouver, is a primary silver producer with mines and exploration assets across the Americas, and it also produces gold and base metals. On the monthly Elliott Wave view, the Grand Supercycle wave ((II)) is placed at a $5.70 low, after which wave ((III)) drove the shares to an all-time high of $69.99. The following wave (IV) decline is marked at $45.94, matching a 38.2%–50% Fibonacci retracement of wave ((III)), and the stock has moved up again in wave (V). A push above $69.99 is still needed to remove the possibility of a double correction.
On the daily chart, the advance from the February 13, 2024 low is described as impulsive: wave I reached $27.47, then wave II eased to $20.55, before wave (III) rose to $42.57 and wave IV dipped to $33.08. Wave V then carried PAAS to $69.99 to complete wave ((III)), followed by a wave (IV) low at $45.94 and a renewed rise in wave (V). From that trough, wave ((1)) ended at $60.56 and wave ((2)) fell to $50.51; wave (1) then climbed to $64.94, before wave (2) retraced to $52.22.
Technical and Market Outlook
We view the long-term trend for Pan American Silver as decidedly upward, having established a major bottom years ago. The stock is in a new primary up-wave, which should ultimately carry it to new all-time highs. The recent pullback appears to be a standard correction within this larger uptrend, setting the stage for the next significant advance.
The short-term structure is particularly constructive for traders in the coming weeks. We see the recent dip to the low $50s as a completed minor wave pullback, offering an ideal entry point for bullish positions. The expectation is for price to now extend higher, initially targeting the recent peak near $65 before challenging the all-time high above $69.
This technical outlook is strongly supported by the current market environment. Silver futures have recently sustained a break above the key $35 per ounce level, trading this morning near $36.50, a multi-year high not seen since 2013. This move is fueled by persistent inflation, with the latest CPI figures for May 2026 coming in hotter than expected at 3.8%, reducing the likelihood of a near-term interest rate cut.
Furthermore, industrial demand for silver continues to accelerate, putting a floor under prices. Following the passage of the Green Infrastructure Bill in the first quarter of 2026, forecasts for solar panel installations have been revised sharply higher. The Solar Energy Industries Association now projects silver consumption from the photovoltaic sector alone will grow by over 25% year-over-year, tightening the physical market considerably.
Trading Strategy
Given this bullish alignment of technicals and fundamentals, we are advising derivative traders to establish long positions. Buying call options with July and August 2026 expirations and strike prices at or above $65 offers attractive leverage to the anticipated move. Selling out-of-the-money puts below the recent $50 support level is also a viable strategy to collect premium while expressing a bullish-to-neutral view.
