From Panic Low to Mean Reversion
s low at $36.96 (Aug 19, 2025) was not a random dip — it was a harmonic test of Daily Buy 2 ($36.59) and the exhaustion point of the prior decline. In Gann’s terms, this was a square-out moment where price, time, and psychology converged. Traders capitulated, volume surged, and silver locked in a new anchor pivot for the unfolding cycle.
Immediately after, the market surged back above Daily VC PMI ($37.55) and Weekly VC PMI ($38.09). This dual regain of equilibrium is critical — it signifies that the short-term and intermediate-term forces are back in balance, a condition that historically precedes sharp reversion rallies.
Square of 9 Geometry at Work
When we rotate the $36.96 pivot through the Square of 9:
- 90° → $37.55 → aligned perfectly with the Daily VC PMI. The breakout above here marked the ignition of bullish energy.
- 180° → $38.07 → nearly identical to the Weekly VC PMI ($38.09), showing Gann’s spiral geometry and the probability model converging. The current battle around this zone explains today’s stall.
- 360° → $39.18 → projects the next harmonic resistance, aligned with psychological round-number resistance at $39.00.
This harmony is striking: the Square of 9 isn’t acting in isolation — it is confirming the VC PMI levels as geometric truths in price.
Time: The Hidden Dimension
Cycles are not just measured in price but in degrees of time. From the Aug 19 low, Gann rotations project the following windows:
- Aug 23 (45°) – a minor test point, a heartbeat check on whether the rally is real.
- Aug 28–29 (90° turn) – a highly probable swing crest, aligning with the monthly Gann cycle date and the 360-day cycle’s expected August peak.
- Sept 11–12 (180° harmonic) – a mid-cycle inversion point. Often these mark acceleration zones into final declines.
- Sept 28 (360°) – the end of the full cycle rotation, harmonizing perfectly with the projected 360-day cycle trough from Sept 28, 2024 → Sept 28, 2025.
This is where the market geometry sings in unison: time and price are spiraling toward a moment of inevitability.
Narrative of Market Psychology
Right now, silver’s rally is short-covering driven. Bears who pressed the breakdown into $36.96 are being squeezed as price tears back above equilibrium pivots. Bulls are emboldened, seeing support defended and new targets activated.
But psychology will flip again: as silver approaches the $38.51–$38.67 cluster (Daily Sell 2 + Weekly Sell 1) and the $39.18 harmonic, late buyers will flood in — just as the cycle window warns of exhaustion. The August 28–29 crest is poised to trap momentum chasers before the September cycle washout.
This is the trapdoor effect of Gann cycles: rallies into geometric resistance near cycle tops are seductive but dangerous. The geometry suggests a final flush into Sept 28, potentially retesting the $36.59–$36.96 zone or even probing deeper Fibonacci symmetry levels.
Strategic Implications
- Short-Term (Aug 21–28): Bullish bias intact above $37.18–$37.24. Target zones: $38.51 → $38.67 → $39.18.
- Crest Window (Aug 28–29): High probability for reversal. If silver peaks here, cycle geometry implies a sharp pullback.
- Mid-Term (Sept 11–12): Possible acceleration window into final cycle weakness.
- Endgame (Sept 28): The convergence of the 360-day cycle low, 360° Gann rotation, and Square of 9 timing window suggests capitulation and opportunity.
Deeper Insight
What we are seeing is not just a rally — it is geometry unfolding in real time. Silver is spiraling through VC PMI equilibrium levels that coincide with Square of 9 harmonics, all within the rhythm of a 360-day cycle that demands a low into late September.
This rally is both real and fragile: real in its alignment with harmonic structure, fragile in its proximity to a cycle crest. For traders, this is the dance of discipline — ride the rally toward $39, but prepare for the inevitable September flush where the best long opportunity of the year may present itself.
In essence: Silver is climbing the spiral toward its August crest, but the geometry already whispers of a September reckoning.
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TRADING DERIVATIVES, FINANCIAL INSTRUMENTS AND PRECIOUS METALS INVOLVES SIGNIFICANT RISK OF LOSS AND IS NOT SUITABLE FOR EVERYONE. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.