Crude Oil Futures: Upside could take a breather

CME Group’s flash data for crude oil futures markets noted traders scaled back their open interest positions for the third consecutive session on Tuesday, now by around 9.2K contracts. On the flip side, volume reversed two daily drops in a row and went up by around 330.5K contracts.

WTI remains capped near $85.00

Prices of the WTI faltered just ahead of the $85.00 mark per barrel on Tuesday. The 3-day positive streak was amidst shrinking open interest, which notes the presence of short covering behind the move higher. That said, a potential corrective move could be in the offing once the short covering finishes.