Gold Futures: A deeper drop seems unlikely

Considering advanced prints from CME Group for gold futures markets, open interest extended the downtrend and this time dropped by around 4.5K contracts on Tuesday. Volume, instead, reversed two consecutive daily pullbacks and increased by around 29.3K contracts.

Gold: Support emerges around $1940

Tuesday’s marked pullback in gold prices was against the backdrop of the shrinking open interest, leaving the door open to a near-term rebound following another test of the key support around the $1940 region per troy ounce.