SILVER Daily and Weekly Charts; Parabolic Rise in Silver

Silver and gold, silver and gold, everyone wishes for silver and gold, as Burl would sing. Republican Speaker Johnson is feeling heat for not bringing up bills in the House and instead simply acting as King Donnie's errand boy. The House may be looking for a new leader in the new year and Mikey may have to return to his role as Hermie, the elf that wanted to be a dentist, in that Rudolph the Red-Nosed Reindeer Christmas classic (see below).

Anyhoo, silver is a big-time story this year receiving greatness due to its basic, as well as aesthetic, uses. The AI hype and green technology such as EV's fuel the rise as well as the holidays and if a man did not gift his honey a silver bracelet yesterday for Christmas, he is now sleeping in the garage. The daily chart shows the radical rise in silver in recent months and the weekly chart displays the parabolic thrust higher into the stratosphere. Congratulations to all the silver bulls that held onto the PM's believing in the longer term story.

Alas, what goes up, must come down, and what goes up parabolically, comes down just as sharp. The question is when does the over-hyped euphoric orgy top end? The red lines show the daily chart pretty-much cooked with negative divergence. The RSI and stochastics are also overbot agreeable to a pullback. The Aroon verifies the out of control bullishness with 100% of the bulls believing that silver will continue going up forever and comically, nearly 100% of the silver bears also believe that silver will go up forever.

The MACD line continues higher but it is in such nosebleed levels, like the seats Keystone buys for sporting events, so there is nowhere to go but down. The air is so rarified way up there in peanut heaven that you have to bring an oxygen tank. The coup de grace is the doji candlestick from the Eve of Christmas, a spinning top, that can identify a trend change.

Price is also running up the upper standard deviation band and needs a correction back to the middle band, at 62 and rising sharply, and lower band at 52 and rising. That is a big congestion zone at 45-55 bookending the 50 level. That hints that it may be a better home for silver as the months play out. Keep watching the chart to see how it develops. Obviously, if you enjoyed huge profits, you have to start thinking about exiting stage right.

The weekly chart is a slightly different picture. Remember, trading is like multi-dimensional chess only time is the dimension not space. The red lines show silver price topping out on the weekly chart but not quite there yet. Price is making the higher highs, record highs, now even higher in real-time, and the RSI sneaks-out a higher high; it is long and strong wanting to see one more high on the weekly basis. Ditto the MACD, histogram and ROC. They do not want the bullish party to end.

The stochastics are neggie d and overbot. The RSI is overbot agreeable to a pullback based on this metric. The MACD on the weekly is at nosebleed levels, where Keystone cannot find a bag of peanuts since the vendors become dizzy at such a high altitude near the cheap seats, and refuse to climb the stairs. These indicators are bearish and indicate the top is near on the weekly basis, probably a week or two away.

So the daily is agreeable to a pullback now but the weekly time frame has a bit more juice. Silver may take its first pullback from the parabolic rise in the days ahead, helped by the negative stochastics on the weekly basis, but that will be short-lived, with price coming back up for another matching price high, say a week or two out, when the weekly chart will be in neggie d so the top can be called on the weekly basis.

The Aroon on the weekly basis indicates every single silver bull and every single silver bear, guarantee that silver will go up forever on the weekly basis (it is a contrarian indicator--the boat is fully loaded on the bull side as would be expected for a parabolic price move).

So taking a guess at the path forward since the charts are not definite right now, silver will likely pullback for a few days, say a week, followed by more upside for a few days, say a week, at that time when the new matching highs are made, say early January or so, the indicators should be in neggie d and the top can be called on the weekly basis. The other outcome is for price to ignore the weakness on the daily chart, for now, and ram price higher to satisfy and burn-out the joy on the weekly chart and create the top over the next couple weeks (without much or a pullback over the next few days).

Keystone is not playing silver long or short but is shorting the gold miners currently. There is no reason to enter silver long or short now. It is best to let the chart play out. You can catch the top on the weekly basis probably in a couple weeks, the weekly chart will tell you when, and you may dip your toe in on the short side limiting the exposure. If you have held silver the last couple years, or even less, and sitting on bags of silver coins, you may consider lightening up the positions. You could scale-out over the next month, say, sell one-fourth of the position each week going forward.

The move is historic. We need Ritchie Blackmore's Rainbow. Man on the Silver Mountain. Lift my spirit higher. Make me Holy again. Dio. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added Saturday, 12/27/25: Wowza. Silver explodes another +10% higher yesterday the parabolic phase going straight vertical. It is quite a sight. A frenzy. Some people may be taking profits in stocks and buying gold and silver as a perceived safe bet ahead. The RSI, MACD and ROC poke out new highs on the daily chart, but all are in the stratosphere now with nowhere to go but down, so probably a two-day jog to turn the RSI and ROC neggie d again and then a couple days to do the same for the MACD so the top for the daily chart is likely a couple-four days away delayed due to the happy silver and gold holiday orgy (down-up-down-up for the top on the daily basis). People are buying silver, gold and other precious metals without even looking at any charts. Analysis above remains in play. Simply watch the charts and when negative divergence forms on the daily and/or weekly charts, you can call the top in silver in that respective time frame.

Note Added Sunday, 12/28/25: Wowza. Silver catapults above 80.. Exchanges are starting to increase margin requirements on silver that means they are trying to put a kibosh on the out of control vertical rally. The elite Wall Street cats always change the rules in the middle of the game. It is called crony capitalism filth. With an increase in margin requirements, holders of silver either have to pony up more dough to maintain current positions or sell some silver. New buyers are limited in their purchases as per the new margin requirements. Typically, the power brokers will raise the margin requirements in stages until the desired outcome occurs (a top in silver). The week ahead may be crazy stuff. It is 3 AM, everyone is drunk as skunks, and the silver party is getting busted. The cops are here and telling everyone to go home, the silver party is over. Is it? As the house lights come up, there is always time for one more song. Closing Time by Dan Wilson.

Note Added Sunday, 12/28/25, at 8:00 PM EST: Wowza. Silver pops to 84, and then falls on its sword dropping to 76 now at 77. The wild ride begins. This is historic price action for silver.