Gold Futures: Downside seen limited

Traders in JPY futures markets scaled back their open interest positions by nearly 2.3K contracts on Tuesday, as per advanced data from CME Group. Volume, instead, resumed the upside and went up by around 66.2K contracts.

Gold: A test of YTD highs remains on the table

Tuesday’s negative price action in the ounce troy of gold was against the backdrop of shrinking open interest, noting that further downside appears limited. That said, a potential visit to the 2020 highs near $1,750 per ounce should not be discarded just yet.