Silver traded near $77.00 on Monday, posting small losses and holding close to last week’s low around $74.50. Trading has been choppy for weeks, and the downtrend from the late-January highs is still in place. Precious metals did not get a boost from the weaker US Dollar, and trading stayed quiet. Volumes were low because many Asian markets were closed for Lunar New Year, and US markets were also shut for President’s Day.

Technical Picture On The Four Hour Chart

On the 4-hour chart, XAG/USD was at $77.09 and remained below the falling 50-period SMA, which is near $80.00. The MACD histogram stayed negative, while the RSI was 43. Support sits near $74.40. The next support level is the 6 February low near $64.00. Resistance is around $80.00, then near $86.30, with more resistance above $92.00 from the 4 February highs. Silver prices can move with the US Dollar, interest rates, safe-haven demand, mining supply, and recycling flows. Industrial demand from electronics and solar also matters. Economic conditions in the US, China, and India can affect prices as well, and silver often follows gold. At this time in 2025, silver showed a similar bearish pattern. It struggled to hold above $80.00 even while the US Dollar was weak. Now, on February 16, 2026, silver is capped again. It is trading in a tight range around $68.00 and still lacks upside momentum. This repeated failure to rally suggests sellers remain in control in the near term.

Macro And Positioning Signals

Recent economic data supports a cautious view. January 2026 inflation came in hotter than expected at 3.4%, which strengthens the Federal Reserve’s case for keeping interest rates high. That backdrop tends to weigh on non-yielding assets like silver. Investor demand also looks softer. Reports show silver ETF holdings have fallen by more than 5 million ounces since the start of the year, pointing to weaker appetite. For derivatives traders, this favors strategies aimed at range trading or further downside in the weeks ahead. One approach could be buying puts with a strike near $64.00, a key support area in early 2025, as protection against a breakdown. Elevated open interest in those contracts suggests other traders are positioning for a similar move. Silver has also lagged gold, and that gap has grown in early 2026. The Gold/Silver ratio has climbed above 92:1, its highest level in more than a year. This suggests traders are leaning toward gold’s safe-haven role over silver’s industrial demand as global manufacturing data slows. Historically, a rising ratio can come before more weakness in silver. Create your live VT Markets account and start trading now.

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