In light of flash prints from CME Group for Natural Gas futures markets, open interest went up for yet another session on Tuesday, this time by nearly 17.3K contracts. On the other hand, volume shrunk for the second straight session, now by nearly 102.2K contracts.
Natural Gas Prices Forecast
Prices of Natural Gas reversed the negative start of the week and closed Tuesday’s session with decent gains. Against this, the uptick in open interest allows for the continuation of the rebound, at least in the near-term.
In fact, Natural Gas met buying interest in the $1.80 region per MMBtu on Monday. Further upside is therefore expected to meet interim hurdle at the 55-day and 100-day SMAs at $1.86 and $1.868, respectively, all ahead of the key $2.00 mark. On the downside, the $1.680 region could re-emerge on the horizon in case sellers regain the upper hand ahead of the 2020 low at $1.574 (April 2).