Why I Won’t Chase Silver’s Parabolic Run — and Neither Should You

by | Jan 14, 2026

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I need to share something important with you about silver, especially if you’ve been riding this extraordinary rally.

After holding my silver position for three years and watching it climb to all-time highs above $92 an ounce, I recently made the decision to take profits.

I want to walk you through exactly why I did it — because understanding this pattern could save you from giving back hard-earned gains.

Silver has surged nearly 99% since that October 2025 pullback, and we’re already up 27% year to date . That’s an incredible move by any measure.

But here’s what I know with absolute certainty: Every parabolic chart eventually pulls back.

I don’t say definitive things very often when I’m trading, but this is one principle I’ll stand behind every single time.

There’s not a single chart in the history of markets that goes straight up without pulling back.

Silver will be no exception.

The Measured Move That Changed My Mind

Let me show you the technical setup that convinced me to take action.

I went back to the 1979-80 all-time high box and copied that measured move to current levels — and we’ve quite literally hit that target right now.

This kind of symmetry doesn’t happen by accident. It’s the market telling us something important about where we are in this cycle.

I don’t know if silver pushes higher before it drops, or if the pullback starts immediately, but from a technical standpoint the parallels are unmistakable.

The highs from 1979, 1980 and again in 2011 create a structure that, when duplicated, aligns almost perfectly with where price sits today.

I’ve also been watching the gold-silver ratio sitting at 50, which is historically where silver tends to underperform gold. And if that ratio starts to bottom out, combined with heavy profit-taking, the risk skews sharply to the downside.

Because you can always get back in — but you don’t want to be caught holding a crowded trade at the top of a measured move.

How I’m Positioning Going Forward

Here’s what I did and what I’m doing now.

After holding silver for three years and nearly doubling my money, I took profits at these all-time highs. But I didn’t exit completely.

I’ve since started dollar-cost averaging back in at a much smaller position size.

This is critical — I won’t short silver. That’s a losing strategy in a secular bull market.

But I am being patient and waiting for the pullback that I know is coming. When it arrives, I’ll be there ready to buy those discounts.

If you’re heavily long silver right now, consider using covered calls for protection. If you’re thinking about chasing this rally, I’d encourage you to wait.

A 90%+ run demands respect, not greed.

The chart is parabolic and broken, which means it needs to come back to some sense of normalcy.

It will bend, and it will break. That’s not bearish — that’s just how markets work.

And when that pullback comes, that’s when the real opportunity presents itself for patient traders who didn’t chase the top.

I’ll see you in the markets.

Chris Pulver
Chris Pulver Trading 

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*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk. 

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We develop strategies to the best of our ability, but we cannot guarantee a future return. There is always a risk of loss when trading. Past performance is not indicative of future results. The results shown are from a 237-trade backtest from 1/1/20 – 1/1/26. The result was a 70% win rate, 40% average return (winners and losers), with a 7-day hold time.

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