February 16, 2026 Spot Gold Outlook

Cheng Jingsheng here wishes everyone a Happy New Year. First, let's review last week's market. Spot gold experienced a wild roller coaster, with a sharp plunge on the 13th that broke through the 5000 level, reaching a low of around 4878. Then, driven by positive news over the weekend, it rebounded strongly and successfully stabilized above 5000. The weekly trend was initially volatile at high levels, then sharply declined, and finally stabilized, with fierce battles between bulls and bears.

Secondly, from the news perspective, on February 16, the Asian market in China remains closed for the Spring Festival holiday, with only the international market trading normally. Market fluctuations are expected to be relatively subdued. Over the weekend, US CPI data came in below expectations, boosting market expectations of a Fed rate cut. Coupled with tense Middle East geopolitical tensions and ongoing global central bank gold purchases, multiple positive factors support gold prices. Short-term negative factors have been largely exhausted.

Finally, from a technical standpoint, gold prices are firmly above the key support level of 5000. The short-term pattern has shifted from weak to strong. The 5000 level provides strong defense below, with the first resistance around 5080 and the second at the 5100 mark. Overall, the market shows a sideways to bullish trend.

February 16 Outlook: Limited volatility in the Asian market due to holiday closure; focus on European and US trading sessions. Trading strategy mainly involves buying on dips around 5000 with a stop-loss, with light positions when retracing to 5010-5020. Targets are 5070-5080, and if broken, further upside is possible. If the price pulls back to 5000 without breaking below, it’s a good opportunity to buy. Currently, it’s not recommended to blindly short.

The above is only personal analysis and does not constitute investment advice. Please refer to Cheng Jingsheng's strategic layout for specific guidance!!$XAU ‌#XAU