Gold Futures: Door open to extra pullbacks

Open interest in gold futures markets increased by just 858 contracts after two consecutive daily pullbacks on Tuesday according to preliminary readings from CME Group. Volume followed suit and added around 34.2K contracts to the previous daily build.

Gold: Next on the downside comes the 200-day SMA

Gold prices dropped for the second session in a row on Tuesday amidst rising open interest and volume, which is indicative that further losses appear on the cards for the precious metal in the very near term. That said, the 200-day SMA at $1916 per ounce troy now emerges as the immediate support.