Natural Gas Futures: Potential rebound on the cards

Open interest in natural gas futures markets shrank for the third straight session on Tuesday, this time by around 7.1K contracts according to preliminary readings from CME Group. Volume, instead, went up by just 266 contracts.

Natural Gas looks side-lined around the 200-day SMA

Tuesday’s downtick in prices of natural gas was against the backdrop of diminishing open interest, indicative that further pullbacks are not favoured for the time being. In the meantime, natural gas prices appear consolidative around the 200-day SMA, today around the $5.60 region per MMBtu.