Natural Gas Futures: Downside bias looks unchanged

Considering advanced prints from CME Group for natural gas futures markets, open interest rose by around 1.1K contracts following three consecutive daily drops on Wednesday On the flip side, volume remained choppy and went down by around 84.5K contracts.

Natural Gas remains side lined around the 200-day SMA

Prices of natural gas added to Tuesday’s losses and revisited once again the area of recent lows near $5.30 per MMBtu on Wednesday. The move was in tandem with rising open interest, indicative that the commodity could face extra downside pressure in the very near term. So far, natural gas has been consolidating near the 200-day SMA around $5.60.