Gold prices have experienced a significant rally, breaking through the key $5,200 resistance level and reaching a session high of $5,219 on February 23, 2026. This sharp upward movement is attributed to a combination of renewed safe-haven demand, heightened global trade uncertainty, and a weakening U.S. dollar.
The catalyst for the volatility appears to be fallout from a recent U.S. Supreme Court ruling tied to Trump-era tariffs, which has reintroduced uncertainty into global trade expectations. This has triggered a "Sell America" theme among some strategists, leading to capital rotation into perceived safe assets. The inverse relationship between gold and the U.S. dollar has been a key driver, as a softer greenback lowers the cost of gold for foreign buyers, bolstering global demand.
From a technical analysis perspective, the breakout is seen as significant. Gold had previously broken resistance at $5,100, accelerating what analysts describe as an active short-term impulse wave. The metal has now pushed above the 61.8% Fibonacci retracement level near $5,142 and has posted four consecutive positive sessions on the daily chart, confirming strong bullish momentum. The next major resistance level is viewed at $5,400, which halted a previous impulse wave at the end of January.
The rally is mirrored in the gold ETF market, with SPDR Gold Shares (GLD) gaining nearly 2% and trading near $477-$478. Technical readings on GLD show a tightening symmetrical triangle and an RSI near 63, signaling strengthening bullish momentum and sustained institutional interest. Analysts note that while short-term oscillators hint at potential consolidation after the rapid ascent, the weekly and monthly timeframes maintain a constructive bias.
Beyond immediate catalysts, structural demand factors remain supportive, including ongoing central bank gold buying as part of diversification strategies. The broader gold price outlook is now seen as hinging on three key factors: the trajectory of the U.S. dollar, developments in trade policy, and signals from Federal Reserve officials regarding monetary policy.
