Gold: Further correction on the cards

CME Group’s flash data for gold futures markets noted open interest shrank by around 18.7K contracts on Thursday. In the same line, volume dropped for the second session in a row, this time by round 27.4K contracts.

Gold: Next support comes at $1913

Thursday’s small uptick in prices of gold was amidst shrinking open interest and volume, leaving the prospects for extra gains curtailed and favouring instead the continuation of the corrective downside. That said, the next magnet for bullion bears emerges at 1913 (March 2 low).