Our short-term silver pullback forecast is working exactly as we have laid out. For the bigger picture, we believe that the ongoing silver pullback is part of a wide bullish reversal pattern, one that is consistent with our silver price forecast. We focus on the silver mining chart in this post because we believe that silver junior miners have huge upside potential.

What stands out when looking at the silver mining chart is the ongoing ‘back-test’ of the bear market trendline that was dominant in 2021 and 2022. As shown below, silver miners registered a bullish reversal in the period of mid-June through mid-November of 2022. The ‘breakout’ level of the reversal is approximately 25 points.

The SIL ETF now trades at around the 27.5 level. In a way, it is close to ‘testing’ the reversal breakout point but also the bear market trendline (which it cleared six weeks ago).

There is a lot of support for silver miners in the current area. We want to see strong support at around 25.50 points in the coming weeks in order to be confident that silver miners are in a buy area.

Interestingly, but not coincidentally, gold is also near key support, as explained in "Gold: Close To Decent Support Levels." It is happening right at a time when the SIL ETF is also approaching key support. The price of gold, the price of silver, and silver miners are in sync. That’s good, and this increases confidence in our hunt for a turning point.

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