Gold Futures: Further losses not favoured

Open interest in gold futures markets shrank by around 5.1K contracts after two consecutive daily builds on Monday, according to preliminary readings from CME Group. Volume followed suit and dropped by around 90.1K contracts.

Gold: Initial support is seen around $1935

Gold started the week on the defensive amidst shrinking open interest and volume, which warns against the continuation of the downtrend in the very near term. So far, the precious metal appears supported by weekly lows around the $1935 per ounce troy (March 21, 22).