Natural Gas Futures: Potential for a move lower

Considering preliminary figures for natural gas futures markets from CME Group, open interest shrank for the fifth consecutive session on Tuesday, now by around 3.5K contracts. Volume followed suit and went down by around 35.6K contracts.

Natural Gas remains focused on $3.36

Tuesday’s gains in prices of natural gas were supported by short covering, as noted by shrinking open interest and volume. That said, the door stays open for a potential retracement in the very near term. Further upside, in the meantime, is expected to target the so far 2021 highs around $3.36 per MMBtu (June 15).