Gold Futures: A sustained bounce not probable

Open interest in gold futures markets dropped for yet another session on Friday, this time by around 12.5K contracts according to preliminary readings from CME Group. Volume followed suit and shrank by nearly 73K contracts after three consecutive daily builds.

Gold appears supported near $1930

Gold prices attempted a decent bounce on Friday. The move, however, was on the back of declining open interest and volume and hints at the likelihood that a sustainable rebound is not favoured in the very near term. So far, the yellow metal seems to have met a decent contention around the $1930 per ounce troy.