Gold Futures: Potential pullback near-term

Open interest in gold futures markets resumed the downside on Friday and retreated by around 7.4K contracts according to flash data from CME Group. In the same line, volume reversed the previous build and went down by nearly 76K contracts.

Gold remains supported by $1,780/oz

Friday’s advance in gold prices was on the back of shrinking open interest and volume, exposing short covering behind the latest uptick and hinting at the idea of a probable correction lower in the very near-term.