Gold firmed on Monday as the dollar softened, although trading was thin due to the U.S. holiday and as markets awaited details on President Donald Trump's tax policy. President Trump will continue to be a key source of market inspiration. Trump's address to the joint session on Capitol Hill next Tuesday may become the next focus considering he is expected to lift the curtain on his tax cuts ideas. The FOMC will release the minutes of its last meeting. A cautious tone on interest rates hike will boost bullion. Meanwhile, the world's largest gold-backed exchange-traded fund, SPDR Gold Shares, reported an outflow of 2.4 tonnes on Friday, the first in nearly four weeks.
On technical front, gold was consolidating at highs, but the MACD suggested a downside prospective. Bullion is expected to fall to $1,215 in near term.
Silver tracked gold, closing in the positive territory on Monday. But on chart, silver outperformed gold, as the former had been holding above the 200-day moving average for days. Technically, a tumbling gold would send the white metal lower to the 100-day moving average of $17.20 as the MACD pulls back.

 
Dealing Room, ICBC Beijing Branch
Cheng Yu

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