In light of flash data from CME Group for natural gas futures markets, open interest shrank for the four consecutive session on Tuesday, this time by just 682 contracts. On the other hand, volume rose for the second session in a row, now by around 53.4K contracts.
Natural Gas now aims for $4.00
The rally in prices of natural gas remains well and sound. However, Tuesday’s uptick was on the back of the continuation of the downtrend in open interest. This, coupled with overbought levels, hints at the possibility of a corrective move in the very near term. On the upside, the commodity now targets the key $4.00 mark per MMBtu.