Tuesday’s strong bounce in prices of natural gas was accompanied by diminishing open interest, which hints at the idea that a sustained move higher seems not probable in the very near term.
Considering advanced prints from CME Group for natural gas futures markets, open interest shrank for the second straight session on Tuesday, now by around 15.5K contracts. Volume, instead, added around 228.2K contracts to the previous daily build.
Natural Gas faces initial hurdle around $2.90
Tuesday’s strong bounce in prices of natural gas was accompanied by diminishing open interest, which hints at the idea that a sustained move higher seems not probable in the very near term. In the meantime, the $2.90 region per MMBtu emerges as an initial barrier prior to the more relevant $3.00 zone.
Information on this article contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.
Comments
Log in or sign up to join the conversation.