SLV Stock Today: January 31 Silver’s Worst Day Since 1980 on Fed Pick
The silver price suffered its worst one-day fall since 1980, down nearly 30%, after Donald Trump named Kevin Warsh as his preferred Fed chair. A stronger dollar, margin calls, and options flows hit metals. The SLV ETF slid hard, while leveraged AGQ saw even steeper losses. For Swiss investors whose portfolios are in CHF, today’s move raises urgent questions on currency risk, position sizing, and whether a rebound is likely if dollar momentum cools. We break down the drivers, data, and next steps.
What drove today’s crash
Trump’s support for Kevin Warsh to lead the Fed boosted the dollar and slammed precious metals. A firmer greenback tends to pressure the silver price and often drags gold too. The policy read-through is a less dovish Fed path than markets expected, tightening financial conditions for metals. See reporting on the move from CNBC.
Large intraday swings triggered margin calls across futures and ETFs, amplifying selling. Options positioning likely added fuel, with dealers hedging into downside. These flow effects can push price beyond fundamentals in the short run. Bloomberg highlighted how options activity compounded metals’ slide today source. The result was a feedback loop that hit liquidity and depth.
If dollar momentum fades or policy tone softens, flows could flip quickly. That raises whipsaw risk for traders chasing weakness. Gold’s slump alongside silver shows cross-asset pressure, but the silver price is more sensitive to positioning. Until macro cues settle, we expect high intraday ranges and wider spreads to persist.
How SLV and AGQ traded
SLV closed at $75.44, down 28.5% (-$30.13). The ETF traded 509,351,619 shares versus a 77,931,424 average, with a $69.12 low and $92.14 high. Despite the plunge, SLV remains up 14.6% year to date and 162.5% over one year. Today’s tape shows how quickly the silver price can swing when liquidity thins.
AGQ finished at $160.15, down 59.9% (-$239.30), after a $298.09 high and $123.12 low. With leverage, losses compound during fast declines and may not recover one-for-one on rebounds. For traders in Switzerland, sizing and risk controls matter more than direction when intraday gaps dominate.
SLV is a grantor trust designed to reflect silver bullion performance before expenses. It is not actively managed and does not try to offset losses. Today’s firm-level signals were mixed: Stock Grade B (Hold) versus a company rating C with a Sell tilt on 2026-01-30. Methodologies differ, so use both with care.
Implications for Swiss investors
US-listed ETFs trade in USD, adding FX risk for CHF-based portfolios. When the dollar rises, it can cushion local returns even as the silver price falls, or worsen losses if both drop. Check your broker’s USD-CHF conversion costs and consider whether separate currency hedges fit your mandate and horizon.
Volatility surged. Keep position sizes small, use staged entries, and pre-define exits. Avoid adding to losers without a plan. Leverage magnifies gaps, so consider unlevered exposure first. If you must trade intraday swings, use limit orders and respect liquidity. Survival beats hero trades in tape like this.
Compare spreads, commissions, and any custody fees across platforms serving Swiss clients. Liquidity and tracking difference matter more during stress. Leveraged products reset daily and can diverge from long-run returns. If your aim is to follow the silver price over months, confirm the product’s structure matches that goal.
Key levels and scenarios
On SLV, RSI is 66.11 and ADX is 41.58, indicating a strong trend after extreme moves. Bollinger bands sit near today’s close (upper 75.41, middle 64.73, lower 54.06). This suggests the silver price remains volatile, with risk of sharp mean reversion. Use signals as context, not as stand-alone triggers.
Near-term support includes the session low at 69.12 and the 50-day average near 66.19. Deeper support is the 200-day around 43.64. Resistance sits at today’s 92.14 high. A hold above the 50-day could stabilize momentum; sustained closes below it may invite another test of liquidity.
Watch US policy remarks, any Kevin Warsh Fed commentary, and incoming inflation and jobs data. Dollar direction is central. Also track ETF flows and borrow costs, which can signal stress easing. A broad gold price drop or recovery often frames sentiment, but silver’s microstructure can diverge in the short run.
Final Thoughts
Today’s 30% collapse shows how policy surprises and dollar surges can overwhelm positioning. For CHF-based investors, treat this as a live stress test. Start with risk: smaller sizes, staged entries, and clear stops. Prefer unlevered exposure while liquidity normalizes. If you add, anchor decisions to levels like the 50-day and session extremes, not headlines. The silver price can rebound if USD strength fades, yet whipsaws are common after forced deleveraging. Focus on total return in CHF, costs, and product structure. Track policy signals, ETF flows, and whether gold’s weakness persists. Patience and discipline will matter more than calling the exact bottom.
FAQs
Why did the silver price fall almost 30% today?
A stronger US dollar after Donald Trump backed Kevin Warsh for Fed chair pressured metals. That shift likely implied a less dovish policy path. Heavy options hedging and margin calls then forced more selling, creating a feedback loop. Liquidity thinned, spreads widened, and the drop accelerated into the close.
Is the SLV ETF suitable for Swiss investors?
It can be, but it trades in USD, so CHF-based investors take currency risk. Check broker FX conversion costs, spreads, and custody fees. SLV aims to reflect spot silver before costs and does not hedge currency. If you want leverage or CHF hedging, consider whether other instruments better fit your objective.
Should I buy the dip in SLV or AGQ now?
Have a plan before acting. Consider scaling in, use limit orders, and define stops. Favor SLV over AGQ if you are not experienced with leverage, as leveraged ETFs can decay during volatile periods. Size conservatively and review whether your thesis depends on dollar strength fading soon.
What indicators can help time entries after a crash?
Monitor price versus the 50-day and 200-day averages, RSI for momentum, and volume trends for confirmation. Watch intraday highs and lows for levels. Bollinger bands can frame mean reversion, but combine tools with macro cues like dollar moves and policy headlines to avoid false signals.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
