Crude Oil Futures: Further weakness seems unlikely

Open interest in crude oil futures markets shrank for the third session in a row on Tuesday, this time by almost 20K contracts. Volume followed suit and went down by nearly 90K contracts, partially reversing the previous daily build.

WTI remains well supported near $65.00

Tuesday’s session saw another pullback in prices of the WTI. The move, however, was against the backdrop of shrinking open interest and volume, hinting at the likelihood of a rebound in the very near term. Further downside, in the meantime, is expected to meet solid support around the $65.00 mark per barrel.