Natural Gas Futures: Corrective pullback on the table
|In light of advanced figures from CME Group for natural gas futures markets, open interest dropped by around 14.6K contracts on Tuesday, reversing the previous daily build. Volume, in the meantime, rose by around 102.6K contracts after two consecutive daily retracements.
Natural Gas still targets $7.00 and beyond
The rally in natural gas remains well and sound. Tuesday’s advance, however, was on the back of diminishing open interest, leaving the door open to a probable corrective move in the very near term. This view appears reinforced by the current overbought conditions of the commodity.
Information on these pages 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.