Natural Gas Futures: Potential for further upside

In light of advanced prints from CME Group for Natural Gas futures markets, open interest went up by nearly 1.6K contracts on Monday after six consecutive daily pullbacks. Volume followed suit and rose by nearly 40K contracts, keeping the erratic performance unchanged.

Natural Gas targets the 50-day SMA above $2.70

Monday’s uptick in prices of Natural Gas was amidst increasing open interest, opening the door to the continuation of the recovery in the very near-term. That said, further gains are expected to meet the next hurdle at the 50-day SMA, today at around $2.72 per MMBtu.