Gold Futures: Upside appears limited

Open interest in gold futures markets rose for the third session in a row on Friday, this time by just 420 contracts according to preliminary readings from CME Group. On the other hand, volume reversed five straight daily builds and shrank by nearly 40K contracts.

Gold could slip back to $1900

Friday’s inconclusive session in gold prices was on the back of a small uptick in open interest and a moderate drop in volume. That said, further gains look out of favour in the very near term, opening the door to a probable knee-jerk with the next support of note around $1900 per ounce troy.