In 2025, silver has finally taken the spotlight alongside gold, with the iShares Silver Trust ETF (SLV) hitting all-time highs and climbing 30% in recent months. The technical chart pattern for silver is unprecedented, leading to uncertainty and potential for wide price swings. SLV, historically a low-beta ETF, is now highly tradable with $31 billion in assets.

The Percentage Price Oscillator (PPO) for SLV indicates a potential double top on the daily view, suggesting the ETF may have reached a peak. The weekly chart also shows a high PPO level, but without a significant signal yet. The historic move in SLV is reflected in a monthly chart spanning nearly 20 years, with the PPO not yet at its all-time high from 2011, signaling bullish potential.

A protective collar strategy for SLV involves purchasing 100 shares and adding a covered call at $76 and a protective put at $60. This setup allows for a 20% profit potential with a 6% loss limit, providing a structured approach to navigate the volatility in the markets. This strategy can be applied to any parabolic situation in commodities, stocks, or indexes.

Read more at Barchart: Silver Prices Are Flying. Should You Try to Catch the Rally, or Bet Against It?