Gold Futures: Extra losses on the cards

Open interest in Gold futures markets shrunk for the fourth consecutive session on Thursday, this time by 839 contracts considering flash data from CME Group. On the other hand, volume rose for the third straight session, now by around 36.6K contracts.

Gold faces minor support around $1,745

Gold prices tested multi-day lows on Thursday, although they managed to rebound afterwards. This price action was in tandem with declining open interest, removing legs from the recovery and leaving the door open to further losses in the very near-term. A deeper pullback is expected to meet interim support at the 50-day SMA, today near $1,745 per ounce troy.