Gold Futures: Scope for extra gains

Open interest in gold futures markets increased by around 35.5K contracts on Monday, resuming the uptrend after Friday’s pullback an all according to preliminary data from CME Group. In the same line, volume went up by nearly 54K contracts after three consecutive daily drops.

Gold remains capped by the $1,850 region

Prices of gold recorded decent gains on Monday amidst increasing open interest and volume, which is indicative that further gains could be in the pipeline in the very near term. That said, the next significant hurdle for the precious metal remains at recent peaks around $1,850.