diff --git a/lib/components/SchematicViewer.tsx b/lib/components/SchematicViewer.tsx
index ab4fd20..d7f74b4 100644
--- a/lib/components/SchematicViewer.tsx
+++ b/lib/components/SchematicViewer.tsx
@@ -1,10 +1,13 @@
+import { su } from "@tscircuit/soup-util"
+import type { CircuitJson } from "circuit-json"
 import {
-  convertCircuitJsonToSchematicSvg,
   type ColorOverrides,
+  convertCircuitJsonToSchematicSvg,
 } from "circuit-to-svg"
-import { su } from "@tscircuit/soup-util"
 import { useChangeSchematicComponentLocationsInSvg } from "lib/hooks/useChangeSchematicComponentLocationsInSvg"
 import { useChangeSchematicTracesForMovedComponents } from "lib/hooks/useChangeSchematicTracesForMovedComponents"
+import { useConnectedTracesHoverHighlighting } from "lib/hooks/useConnectedTracesHoverHighlighting"
+import { getStoredBoolean, setStoredBoolean } from "lib/hooks/useLocalStorage"
 import { useSchematicGroupsOverlay } from "lib/hooks/useSchematicGroupsOverlay"
 import { enableDebug } from "lib/utils/debug"
 import { useCallback, useEffect, useMemo, useRef, useState } from "react"
@@ -16,21 +19,19 @@ import {
 import { useMouseMatrixTransform } from "use-mouse-matrix-transform"
 import { useResizeHandling } from "../hooks/use-resize-handling"
 import { useComponentDragging } from "../hooks/useComponentDragging"
+import { useSpiceSimulation } from "../hooks/useSpiceSimulation"
 import type { ManualEditEvent } from "../types/edit-events"
+import { getSpiceFromCircuitJson } from "../utils/spice-utils"
+import { zIndexMap } from "../utils/z-index-map"
 import { EditIcon } from "./EditIcon"
 import { GridIcon } from "./GridIcon"
-import { ViewMenuIcon } from "./ViewMenuIcon"
-import { ViewMenu } from "./ViewMenu"
-import type { CircuitJson } from "circuit-json"
-import { SpiceSimulationIcon } from "./SpiceSimulationIcon"
-import { SpiceSimulationOverlay } from "./SpiceSimulationOverlay"
-import { zIndexMap } from "../utils/z-index-map"
-import { useSpiceSimulation } from "../hooks/useSpiceSimulation"
-import { getSpiceFromCircuitJson } from "../utils/spice-utils"
-import { getStoredBoolean, setStoredBoolean } from "lib/hooks/useLocalStorage"
 import { MouseTracker } from "./MouseTracker"
 import { SchematicComponentMouseTarget } from "./SchematicComponentMouseTarget"
 import { SchematicPortMouseTarget } from "./SchematicPortMouseTarget"
+import { SpiceSimulationIcon } from "./SpiceSimulationIcon"
+import { SpiceSimulationOverlay } from "./SpiceSimulationOverlay"
+import { ViewMenu } from "./ViewMenu"
+import { ViewMenuIcon } from "./ViewMenuIcon"
 
 interface Props {
   circuitJson: CircuitJson
@@ -345,6 +346,12 @@ export const SchematicViewer = ({
     editEvents: editEventsWithUnappliedEditEvents,
   })
 
+  useConnectedTracesHoverHighlighting({
+    svgDivRef,
+    circuitJson,
+    enabled: !editModeEnabled && !showSpiceOverlay,
+  })
+
   // Add group overlays when enabled
   useSchematicGroupsOverlay({
     svgDivRef,
diff --git a/lib/hooks/useConnectedTracesHoverHighlighting.ts b/lib/hooks/useConnectedTracesHoverHighlighting.ts
new file mode 100644
index 0000000..a0eb712
--- /dev/null
+++ b/lib/hooks/useConnectedTracesHoverHighlighting.ts
@@ -0,0 +1,106 @@
+import type { CircuitJson } from "circuit-json"
+import { useEffect, useRef } from "react"
+import { findConnectedTraceIds } from "../utils/trace-connectivity"
+
+export const useConnectedTracesHoverHighlighting = ({
+  svgDivRef,
+  circuitJson,
+  enabled = true,
+}: {
+  svgDivRef: React.RefObject<HTMLDivElement | null>
+  circuitJson: CircuitJson
+  enabled?: boolean
+}) => {
+  const highlightedIdsRef = useRef<Set<string>>(new Set())
+  const leaveTimerRef = useRef<ReturnType<typeof setTimeout> | null>(null)
+
+  useEffect(() => {
+    if (!enabled) return
+    const container = svgDivRef.current
+    if (!container) return
+
+    const highlightId = (id: string) =>
+      container
+        .querySelectorAll(`[data-schematic-trace-id="${id}"]`)
+        .forEach((el) => el.classList.add("trace-highlighted"))
+
+    const unhighlightId = (id: string) =>
+      container
+        .querySelectorAll(`[data-schematic-trace-id="${id}"]`)
+        .forEach((el) => el.classList.remove("trace-highlighted"))
+
+    const clearAll = () => {
+      highlightedIdsRef.current.forEach(unhighlightId)
+      highlightedIdsRef.current.clear()
+    }
+
+    const onEnter = (e: Event) => {
+      const traceGroup = (e.target as Element).closest(
+        "[data-schematic-trace-id]",
+      )
+      if (!traceGroup) return
+      const id = traceGroup.getAttribute("data-schematic-trace-id")
+      if (!id) return
+
+      if (leaveTimerRef.current) {
+        clearTimeout(leaveTimerRef.current)
+        leaveTimerRef.current = null
+      }
+
+      clearAll()
+      findConnectedTraceIds(circuitJson, id).forEach((connId) => {
+        highlightId(connId)
+        highlightedIdsRef.current.add(connId)
+      })
+    }
+
+    const onLeave = () => {
+      leaveTimerRef.current = setTimeout(clearAll, 50)
+    }
+
+    const injectStyles = () => {
+      if (container.querySelector("style#trace-hover-styles")) return
+      const style = document.createElement("style")
+      style.id = "trace-hover-styles"
+      style.textContent = `
+        .trace-highlighted path,
+        .trace-highlighted circle {
+          stroke: #ff6b35 !important;
+          filter: drop-shadow(0 0 3px rgba(255,107,53,0.6)) !important;
+          transition: stroke 0.15s ease-in-out, filter 0.15s ease-in-out !important;
+        }
+        [data-schematic-trace-id] { cursor: pointer; }
+      `
+      container.appendChild(style)
+    }
+
+    const attach = () => {
+      injectStyles()
+      container.querySelectorAll("[data-schematic-trace-id]").forEach((el) => {
+        el.addEventListener("mouseenter", onEnter)
+        el.addEventListener("mouseleave", onLeave)
+      })
+    }
+
+    const detach = () =>
+      container.querySelectorAll("[data-schematic-trace-id]").forEach((el) => {
+        el.removeEventListener("mouseenter", onEnter)
+        el.removeEventListener("mouseleave", onLeave)
+      })
+
+    attach()
+
+    const observer = new MutationObserver(() => {
+      detach()
+      attach()
+    })
+    observer.observe(container, { childList: true, subtree: true })
+
+    return () => {
+      observer.disconnect()
+      detach()
+      if (leaveTimerRef.current) clearTimeout(leaveTimerRef.current)
+      clearAll()
+    }
+  }, [svgDivRef, circuitJson, enabled])
+}
diff --git a/lib/utils/trace-connectivity.ts b/lib/utils/trace-connectivity.ts
new file mode 100644
index 0000000..6b63b98
--- /dev/null
+++ b/lib/utils/trace-connectivity.ts
@@ -0,0 +1,48 @@
+import { su } from "@tscircuit/soup-util"
+import type { CircuitJson } from "circuit-json"
+
+export const findConnectedTraceIds = (
+  circuitJson: CircuitJson,
+  hoveredSchematicTraceId: string,
+): string[] => {
+  try {
+    const soup = su(circuitJson)
+    const hoveredSchematicTrace = soup.schematic_trace.get(
+      hoveredSchematicTraceId,
+    )
+    if (!hoveredSchematicTrace?.source_trace_id)
+      return [hoveredSchematicTraceId]
+
+    const hoveredSourceTrace = soup.source_trace.get(
+      hoveredSchematicTrace.source_trace_id,
+    )
+    if (!hoveredSourceTrace) return [hoveredSchematicTraceId]
+
+    const connectedNetIds = hoveredSourceTrace.connected_source_net_ids ?? []
+    if (connectedNetIds.length === 0) return [hoveredSchematicTraceId]
+
+    const allSourceTraces = soup.source_trace.list()
+    const connectedSourceTraceIds = new Set<string>()
+
+    for (const sourceTrace of allSourceTraces) {
+      const netIds = sourceTrace.connected_source_net_ids ?? []
+      if (netIds.some((id) => connectedNetIds.includes(id))) {
+        connectedSourceTraceIds.add(sourceTrace.source_trace_id)
+      }
+    }
+
+    const allSchematicTraces = soup.schematic_trace.list()
+    const result = new Set<string>([hoveredSchematicTraceId])
+    for (const st of allSchematicTraces) {
+      if (
+        st.source_trace_id &&
+        connectedSourceTraceIds.has(st.source_trace_id)
+      ) {
+        result.add(st.schematic_trace_id)
+      }
+    }
+    return Array.from(result)
+  } catch {
+    return [hoveredSchematicTraceId]
+  }
+}