Gold Futures: Extra gains should not be ruled out

Pablo Piovano FXStreet

Open interest in gold futures markets increased for the third session in a row on Wednesday, this time by around 3.8K contracts according to flash data from CME Group. On the other hand, volume shrank by around 107.5K contracts, reversing at the same time two daily pullbacks in a row.

Gold now looks to the 200-day SMA

Wednesday’s uptick in gold prices came amidst the continuation of the uptrend in open interest, which is indicative that further upside should not be ruled out. That said, and following the re-test of the $1,800 mark per ounce troy, the yellow metal now faces the next target at the 200-day SMA near $1,830.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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