Gold Futures: Further losses not favoured

Open interest in gold futures markets shrank for the fifth consecutive session on Monday, this time by around 11.3K contracts according to preliminary readings from CME Group. Volume, on the other hand, went up by around 63.5K contracts, reaching the third daily build in a row.

Gold: Next support of note comes at $1890

Gold started the week on the back footing and closed the session just below the $1900 mark. The negative price action was on the back of shrinking open interest, however, hinting at the idea that a deeper drop appears somewhat unlikely in the very near term. Against that, the next support of note emerges at the March low at $1890 per ounce troy (March 29).