Silver has outperformed all asset classes this year with its spectacular rally. An over 150% rise in silver prices in 2025 puts the white metal on track for the best annual gains in 46 years.
In Friday’s trade, silver prices surged 5% to cross the $75 an ounce mark for the first time. On MCX, too, silver prices surged 4% to a record high above ₹2,32,700 per kg. Several geopolitical factors, like the prolonged Russia-Ukraine crisis and the latest flare-up in tensions between the US and Venezuela, have driven the safe-haven appeal for the white metal.
The precious metal has also been subject to inventory hoarding in China and the United States, creating a supply deficit.
Time to book profits in silver?
But now some experts are turning wary of the sharp surge in silver, anticipating profit booking. According to them, the gold-silver ratio is now signalling a relative exhaustion in silver’s outperformance, but not a reversal for the metals complex.
The gold-silver ratio is a metric used to determine the number of ounces of silver required to purchase one ounce of gold. Commodity market investors use this ratio to estimate the relative strength of the two precious metals over time in an effort to make their decisions to buy or sell which metal at any given time.
In 2025, the ratio dropped 40% from 107 to 64, signalling a strong silver outperforming throughout the year.
Kedia Advisory data now suggests that the ratio is approaching the 62.5 structural support, aligning with the 100% Fibonacci retracement and past reversal zones seen in 2016 and 2021, which can potentially signal a reversal.
It added that though prices remain below the Ichimoku cloud and MACD signals weakness, the RSI is nearing the 30 mark — a rare, decade low condition, which signals downside exhaustion risk.
Echoing a cautious outlook on silver, Justin Khoo, Senior Market Analyst – APAC, VT Market, said historically, such moves (outperformance of silver over gold) are followed by phases where gold stabilises, and silver corrects. “This points to rotation within precious metals, not a breakdown. Gold may regain relative leadership during periods of risk aversion, while the broader bullish structure remains intact,”
Khoo highlighted that any pullback in silver prices from current levels should be viewed as a correction rather than a trend-ending setup, as inflation concerns, fiscal stress, and real-rate uncertainty remain supportive for precious metals.
Ajay Suresh Kedia, the founder and director of Kedia Advisory, expects the gold-silver ratio to have a key support level of 45.232 and a key resistance level of 76.190 over the next six-month period.
“Although there are red flags ahead, the long-term outlook for silver prices is that the precious metal will hit $100 per ounce over the next three years,” Kedia told Mint.
Kaveri More, Commodity Analyst at Choice Broking, however, does not see this rally in silver slowing down.
“Gold-silver ratio indicates continued silver outperformance in this bull market, as ratios below 70 historically favour silver due to its industrial demand divergence from gold’s safe-haven dynamics, with support at 55-50 potentially cushioning any pullback,” said More.
Key levels for gold & silver in 2026
Kaveri More also highlighted that the key level for Comex gold stands at a near-term resistance of $4,600-5,000 per ounce, while the support zone is at $4,250-4,150 per ounce amid the Federal Reserve’s rate cuts and central bank buying.
In India, MCX gold prices hold a key near-term resistance level within ₹140,000-151,000 per 10 grams, while the target stands at ₹133,000-128,800 per 10 grams in 2026, according to the market expert.
The silver prices have a potential upside of $75-80 per ounce levels, with key support at $60-65 per ounce levels, the commodity market expert told Mint. The silver futures in India are expected to range between ₹208,000-190,000 in 2026, and between ₹230,000-250,000 in the near-term period.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
