Gold Futures: Rebound in the offing?

Open interest in gold futures markets extended the downtrend for yet another session and shrank by around 8.8K on Friday, considering preliminary readings from CME Group. In the same line, volume reversed two builds in a row and went down by around 129.5K contracts.

Gold now looks to regain $1,800

Gold prices seem to have met decent contention around $1,760 so far. Friday’s shrinking open interest and volume warns against further retracements in the very near term. The current oversold condition of the yellow metal also reinforces the idea that a rebound looks likely. That said, the $1,800 mark per ounce troy should emerge as the initial target of any bullish attempt.