Silver Price climbed over one and half percent on Tuesday, recovering some of the losses from the previous session as escalating tensions in the Middle East pushed investors towards safe-haven assets. Iran’s missile strikes on Israel, in retaliation for Israel’s military actions against Hezbollah in Lebanon, have stoked fears of a broader regional conflict.
In addition to the geopolitical turmoil, silver and other precious metals have benefited from expectations of rate cuts by the Federal Reserve and other central banks. The Fed’s surprise 50 basis-point cut in September, along with potential further easing due to a softening labor market and slowing inflation, has provided strong support for bullion prices.
China’s fiscal and monetary stimulus has also bolstered demand for silver, particularly in its industrial applications such as electrification and solar panel production.
Commenting on the situation, Tai Wong, a New York-based independent metals trader, noted: “It’s instinctive safe-haven buying, but unless an Iranian missile manages to get through and cause significant damage in Israel, this might resemble the April attack with similar ordinance, which was mostly intercepted.”
With political uncertainty rising, silver continues to attract interest as a defensive asset in times of financial instability.
Technical Outlook – Silver Price
Silver prices recorded a 1.75% gain yesterday, with the metal reaching an intraday high of ₹93,016 before settling at ₹92,978, up from the previous close of ₹91,375. The forecast from September 20 has been proven accurate, as prices reached both projected targets.
From a technical perspective, the price action remains in a bullish consolidation, with a long bullish candlestick formation on the chart, signaling continued upward momentum in the near term. A breakout above ₹93,050 is anticipated to trigger further upside, targeting the ₹93,850–₹94,500 range.
Conversely, any short-term pullback towards ₹92,350–₹92,200 is expected to invite buying interest. On the downside, key support is observed at ₹90,500, with a break below this level likely to lead to a correction towards ₹89,450–₹88,750.
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Commodity Samachar Securities
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