CME Group’s preliminary readings for crude oil futures markets noted open interest went up by nearly 18K contracts on Monday, reversing four consecutive daily pullbacks. Volume, instead, shrunk for the second straight session, now by around 28.4K contracts.

WTI COULD DROP TO THE 200-DAY SMA

Prices of the barrel of the West Texas Intermediate (WTI) extended the recent leg lower at the beginning of the week, breaking below the critical $40.00 mark. The move lower was in tandem with a moderate raise in open interest, leaving the idea of further losses well on the cards for the time being. Against this, WTI could re-visit the key 200-day SMA near $38.40 in the very short-term.