Gold Futures: Further decline on the cards

Considering advanced prints from CME Group for gold futures markets, open interest increased by around 7.8K contracts on Monday, reversing at the same time two consecutive daily drops. Volume followed suit and rose by around 90.3K contracts, keeping the erratic performance well in place for yet another session.

Gold faces initial support around $1945

Gold prices extended the multi-session weakness on Monday. The daily pullback was on the back of increasing open interest and volume and leaves the door open to the continuation of the downtrend in the very near term. In the meantime, the weekly low at $1945 (July 17) per troy ounce emerges as the immediate contention for the time being.