Homelite 16 inch chain saw will only run at idle with choke on

SOURCE: Chainsaw chain won't move on 16" Homelite bar

Sounds like th clutch brake is engaged. Try Pushing firmly foward on the hand guard in front of the handle. It should click to release the clutch brake.
Let me know if this helps.

SOURCE: The chain on my chain saw is slack.

The adjusting screw is usually found on the right side of the saw close to the bar, near the bottom. You will need to loosen the two nuts on the side that hold the bar tight. Loosen them until the bar lifts up and down (about 1/2") with your finger.

There should be a combination spark plug wrench and screwdriver that came with your saw. If not, use a slot screwdriverto tighten the chain while you hold the bar up with two fingers.

When adjusted properly, there should be no hanging slack in the chain when it is warm. It should rest just against the bar so that you can grasp it with gloves on and pull it toward you.

When it is tightened thusly, tighten the two side nuts while holding the bar up with two fingers. If you don't tighten the two nuts enough, it will loosen and the chain will have slack again shortly.

Remember that the hotter the chain gets, the looser it will be. Make sure your chains is getting plenty of bar oil. Never use regular motor oil.

SOURCE: Need Manual for chain saw

i couldnt find a free one but here is a cheap one

http://mytriggers.com/homelite-xl-12/search-4-html

Testimonial: "Thank you."

SOURCE: How to remove plastic limiter cap on (H) carburetor adjustment

If plastic cap is present, it should just pop off with a thin sharp hook. Look carefully at the screw heads--they may be 'D' heads which require a special screwdriver and are supposed to keep owners from moving the screws (thank the EPA for these). Only authorized saw servicing dealers have access to these tools and therefore are the only folks allowed to adjust these saws. Being nonconformist, I made my own by drilling the center of a 1/4" rod, sawed off one side somewhat and welded a flat across the cut. Hope this helps!

SOURCE: Chain oil tank full, feed

There should be a oil adjusting screw on the bottom of your saw next to the bar beside the oil tank. Some models actually has the screw inside the tank. Drain the tank to make sure there isn't any debris clogging the hole where the oil feeds to the bar.

One way to check to see if the bar is oiling is:

1. Start the saw
2. Put a board, piece of cardboard or an uncolored old shirt in front of the bar
3. Press the trigger on the saw to allow the chain to circulate around the bar.
4. While keeping constant pressure on the trigger, look to see if there is a vertical line of oil on the piece of material you have placed on front of the bar. If the saw is oiling you will have a vertical line. If not adjust the oil set screw accordingly.