Open interest in gold futures markets extended the uptrend on Wednesday, this time rising by around 6.5K contracts, according to preliminary readings from CME Group. Volume followed suit and went up by around 95.3K contracts after two consecutive daily drops.
Gold could revisit the June low near $1890
Wednesday’s downtick in gold prices came amidst increasing open interest and volume and is indicative that gold could face further weakness in the very near term. That said, a drop of the yellow metal to the June low of $1893 per troy ounce should not be ruled out.
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