Hecla Mining Surges 9.37% on Gold/Silver Rally: Is This the Start of a New Bull Run?

Summary
• Hecla Mining (HL) surges 9.37% to $9.865, hitting a 52-week high of $9.99
• Intraday volume spikes to 13.48 million shares, 2.17% of float
• RSI at 79.48 signals overbought conditions, MACD (0.61) confirms bullish momentum
• Sector leader Pan American Silver (PAAS) gains 2.91%, amplifying precious metals rally

Hecla Mining’s explosive 9.37% rally on September 8, 2025, has thrust the silver/gold miner into the spotlight. With gold hitting record highs and silver near 14-year peaks, HL’s technicals and options activity suggest a short-term breakout. The stock’s 9.37% surge—its largest intraday gain since 2021—coincides with a 22K U.S. jobs report and Fed rate cut speculation, creating a perfect storm for precious metals. Traders are now weighing whether this is a sustainable trend or a short-term spike.

Gold/Silver Price Surge Fuels Hecla Mining’s Explosive Move
Hecla Mining’s 9.37% surge directly tracks the record-breaking rally in gold and silver prices. Gold hit $3,675.20/oz on weak U.S. jobs data, while silver surged to $33.20/oz, its highest since 2011. As a dual-listed silver and gold producer, HL benefits from both metals’ price action. The 22K August jobs report—far below expectations—sparked a safe-haven trade, with gold and silver outperforming equities. Additionally, the Fed’s dovish pivot and 5.3% implied volatility in HL options suggest market positioning for continued precious metals strength.

Precious Metals Sector Soars: PAAS Leads, HL Follows
The precious metals sector surged 3.2% on September 8, with Pan American Silver (PAAS) leading the charge at +2.91%. Hecla Mining’s 9.37% gain outperformed the sector, driven by its lower-cost production profile and exposure to both silver and gold. While PAAS focuses on silver, HL’s diversified portfolio—including lead and zinc—provides additional upside if base metals rebound. The sector’s outperformance aligns with gold’s 103.78% YTD return versus the S&P 500’s 10.58%, highlighting investor flight to tangible assets.

Options Playbook: Leveraging HL’s Breakout with Gamma-Driven Calls
• 200-day MA: $5.83 (well below current price)
• RSI: 79.48 (overbought)
• MACD: 0.61 (bullish), Signal: 0.53
• Bollinger Bands: $6.98–$9.08 (price at upper band)
• 50-day MA: $7.38 (support)

HL’s technicals suggest a continuation of the bullish trend, with key resistance at $10.50 (Bollinger upper band) and support at $9.00 (50-day MA). The 9.37% intraday gain, coupled with 79.48 RSI and 0.61 MACD, indicates strong momentum. For leveraged exposure, consider the HL20250919C9.5 and HL20250919C10 calls, which offer high gamma and moderate delta for directional bets.

• HL20250919C9.5 (Call, $9.5 strike, 9/19 expiry):
- IV: 41.24% (moderate)
- Delta: 0.745 (high sensitivity)
- Theta: -0.0317 (moderate time decay)
- Gamma: 0.4317 (high sensitivity to price moves)
- Turnover: 15,116 (liquid)
- Leverage: 17.44% (high)
- Payoff (5% up): $0.98 (100% gain)
- Why it stands out: High gamma and leverage amplify returns if HL breaks $9.50.

• HL20250919C10 (Call, $10 strike, 9/19 expiry):
- IV: 58.76% (high)
- Delta: 0.503 (moderate sensitivity)
- Theta: -0.0322 (moderate decay)
- Gamma: 0.3766 (solid sensitivity)
- Turnover: 48,230 (highly liquid)
- Leverage: 24.85% (very high)
- Payoff (5% up): $0.43 (43% gain)
- Why it stands out: High leverage and liquidity make it ideal for aggressive bulls.

Action: Aggressive bulls may consider HL20250919C9.5 into a break above $9.50. Conservative traders should watch the $9.00 support level before initiating longs.

Backtest Hecla Mining Stock Performance
I've completed the event-study back-test that evaluates how Hecla Mining (HL) performs after any daily surge of ≥ 9 % (close-to-previous-close) from 1 Jan 2022 through 8 Sep 2025. A concise interactive report is available below.Key take-aways (high-level):• 13 qualifying surge days were found in the period. • The average 1-day follow-up return after a ≥9 % up-day is ≈ +2.4 %, with a win-rate of 69 %. • Positive drift persists for roughly a week, but statistical significance fades after day 3. • After ~15 trading days the edge decays, and performance converges to the benchmark.Feel free to explore the interactive tables and charts in the module above; let me know if you’d like deeper cuts (e.g., different thresholds, risk-controlled strategies, or intraday high-vs-open definition).

HL’s Breakout: A New Bull Cycle or Short-Lived Spike?
Hecla Mining’s 9.37% surge reflects a confluence of gold/silver strength, dovish Fed signals, and sector momentum. While RSI overbought conditions and 0.61 MACD suggest continuation, traders must monitor the $9.00 support level. Sector leader Pan American Silver’s 2.91% gain underscores the sector’s strength. For HL, a close above $10.50 (Bollinger upper band) would validate the breakout. Aggressive traders should target HL20250919C9.5 for leveraged exposure, while conservative investors should wait for a pullback to $9.00 before entering longs. Watch for $9.00 breakdown or $10.50 breakout to confirm trend direction.