February 8, 2026

This week, spot gold experienced an epic rollercoaster, first plunging sharply, then rebounding strongly, with intense volatility. Due to fund rebalancing and profit-taking, there was a sharp decline midweek; on Friday, buying interest surged on dips, combined with expectations of interest rate cuts and safe-haven support, causing gold prices to quickly recover lost ground. The week showed a deep V-shaped reversal, with strong support below, and the high-level consolidation pattern remains unchanged. Trading risks from chasing highs and selling lows are high, so focus on buying dips during pullbacks.

Overall, spot gold remains volatile but relatively strong, with positive news still prevailing.

The Federal Reserve's rate cut expectations remain unchanged, geopolitical tensions in the Middle East and elsewhere persist, and safe-haven buying has not subsided; non-farm payroll data has been delayed, so the market currently faces no major negative news, and funds are more willing to hold onto gold. However, there is short-term pressure as the recent rally was rapid, and some funds may take profits, leading to larger-than-usual fluctuations. There will be no one-sided surge.

From a technical perspective, gold has just rebounded strongly from lows, with short-term moving averages trending upward, and solid support below, making further declines limited. Resistance near previous highs is evident, and price action may oscillate back and forth. The likely pattern is a pullback to support followed by oscillating higher, rather than continuous rise or sharp decline.

In terms of trading, avoid chasing highs; wait for a pullback to support before buying more safely. When approaching resistance levels, consider small short positions with strict stop-losses. The overall strategy is to follow the trend, plan for pullbacks, avoid betting on a one-sided move, trade with small positions in batches, implement good risk control, and follow the oscillation rhythm.

Overall, unless there is major negative news on Monday, the trend of spot gold will continue to oscillate upward, with potential to break through the 5000 level again. If it can break and stabilize above 5000, consider going long with targets around 5040-5080-5100.

This is only personal advice for reference, not investment advice. Please follow Cheng Jingsheng's layout for specific strategies!!$XAU ‌#XAU