Silver possesses a dual character, prized both as a financial asset and as a crucial industrial component, particularly in clean-energy technologies. It is an essential element in solar panels, and with the industry experiencing significant growth, silver usage is projected to hit a record high this year, according to the Silver Institute. Furthermore, silver tends to see seasonal gains ahead of inventory building for Christmas gifts.

Over the last 15 years silver has gained on average 3.87% from August 20 through to September 03. The largest gain was 17% in 2009 and the largest loss was -5.74%

The three strongest months for gold are January, August and July, so is silver worth buying ahead of seasonal bias for silver. Furthermore, if silver demand keeps rising due to industrial demand that could give silver an extra leg higher this year. 

Traders should also keep an eye out for the gold/silver ratio. When it rises it means that silver is cheap relative to gold and a move above 100 can bring strong silver buying into the market. This is a key ratio to watch when trading silver. See chart below with the gold silver ratio in purple. When it rises, notice how silver tends to gain sharply after.

Sign up here for thousands of more seasonal insights just waiting to be revealed!

• The major trade risk here is that previous price patterns do not necessarily repeat themselves each year.

Remember, don’t just trade it Seasonax It!