Natural Gas Futures: Further correction should not be ruled out

Considering advanced prints from CME Group for natural gas futures markets, open interest rose by around 2.2K contracts after two consecutive daily declines on Monday. On the other hand, volume dropped for the second session in a row, this time by nearly 52K contracts.

Natural Gas now eyes a move to $4.00

Natural gas prices started the week on the back foot and came under pressure following Friday’s nine-month highs. The daily downtick came on the back of rising open interest, which seems to reinforce the idea that a corrective decline appears likely in the very near term. In the meantime, further rebound carries the potential to extend to the next hurdle at the round level of $4.00 per MMBtu.