Copper Futures: Probable correction lower

Open interest in Copper futures markets shrunk for yet another session on Thursday, this time by around 2.8K contracts, as per advanced data from CME Group. Volume followed suit and dropped by almost 2K contracts, down for the second consecutive session.

Copper likely to move lower

Prices of the pound of the base metal advanced on Thursday amidst shrinking open interest and volume, suggesting that the move was sustained by short covering. In this scenario, there is scope for a deeper pullback to the weekly low near $2.15 per pound.