Natural Gas Futures: Probable correction lies ahead

Open interest in natural gas futures prices went up for the second session in a row on Wednesday, this time by almost 13K contracts according to advanced prints from CME Group. Volume, in the same line, reversed three consecutive pullbacks and increased by nearly 210K contracts.

Natural Gas: The hunt for the $5.00 mark

Prices of natural gas extended the rally for yet another session and clinched fresh 2021 high around $4.70, although closing a tad lower on Wednesday. The upside was accompanied by rising open interest and volume, allowing for some corrective move in the very near term. This view is reinforced by current overbought levels in the commodity, as per the daily RSI. On the upside, the next target now comes at the 2018 high near $4.93 per MMBtu (November 14).