Crude Oil Futures: Scope for further downside

Open interest in Crude Oil futures markets rose by around 19.6K contracts on Wednesday, reversing at the same time four consecutive daily drops, as per advanced figures from CME Group. Volume followed suit and went up for the third day in a row, this time by almost 1.5K contracts.

WTI eyes a test of $39.00

Wednesday’s moderate pullback in prices of the WTI was accompanied by rising open interest and volume, all indicative that further retracements remain in the pipeline in the very near-term. On the downside, the September 12 low around $39.00 emerges as the next interim support.