Natural Gas Futures: Further gains in the pipeline

Considering advanced prints from CME Group for natural gas futures markets, open interest resumed the downside on Tuesday and shrank by around 16.2K contracts. On the other hand, volume rose for the second consecutive session, now by around 10.8K contracts.

Natural Gas still looks to $6.50

Prices of natural gas dropped on Tuesday after hitting new multi-day highs near $6.10. The move, however, was amidst shrinking open interest, which is indicative that further losses remain unlikely in the very near term at least, while the target stays unchanged at the YTD peak at $6.50 mark per MMBtu (October 6).