Crude Oil Futures: Scope for further retracements

CME Group’s flash prints for crude oil futures markets noted traders increased their open interest positions for the fifth consecutive session on Thursday, now by around 26.8K contracts. On the other hand, volume went down for the third session in a row, this time by around 212.5K contracts.

WTI now looks to the 55-day SMA near $39.50/bbl

Prices of the WTI kept correcting lower on Thursday following monthly peaks just above the $43.00 mark per barrel on Wednesday. Rising open interest coupled with the negative price action supports further losses at least in the very near-term with the potential target in the $39.50 zone per barrel, where sits the 55-day SMA.