Gold Futures: Further upside unlikely

Open interest in gold futures markets shrank for the second session in a row on Monday, this time by nearly 7K contracts, according to flash data from CME Group. Volume followed suit and went down for the second consecutive day, now by more than 37K contracts.

Gold risks further decline

Monday’s positive price action in gold was amidst shrinking open interest and volume, undermining the idea of the continuation of the rebound, at least in the very near term. On the upside, the $1,800 mark per ounce troy keeps limiting occasional bullish attempts.