Silver prices showed bullish momentum this morning, supported by the Bollinger Bands technical indicator, which is providing positive signals as the price is moving above its middle line. Meanwhile, the price is trading near the upper band of the indicator, aiming to stabilize above it to resume its upward march.

Scenario 1:

Currently, silver is hovering near $32.55, which is considered a significant point as it coincides with the upper boundary of the bullish channel. A sustained move above it could lead to further gains towards $33, noting that surpassing this resistance would pave the way for the resumption of the key bullish trend on the way to the Fibonacci extension level of 1.618, near $33.50.

Scenario 2:

If silver fails to break the resistance level at $32.55, this could lead to a loss of positive momentum then a retest to the daily pivot point at $32. If the price manages to break below the aforesaid pivot point, it may push prices downward near $31.55. It is worth noting that a decline underneath the lower line of the channel could signal a shift from bullish to bearish and may dump silver down to $30.95.