Natural Gas Futures: Further gains not ruled out

Open interest in natural gas futures markets increased for the second session in a row on Tuesday, this time by around 3K contracts according to advanced prints from CME Group. On the other hand, volume dropped for the third session in a row, now by around 12.7K contracts.

Natural Gas looks side-lined near term

Tuesday’s small uptick in prices of natural gas was accompanied by rising open interest, which is supportive of further upside going forward. However, the persistent decline in volume warns against the sustainability of this trend and could point to some near-term consolidation.