NATURAL GAS FUTURES: UPSIDE LOOKS LIMITED

Traders reduced their open interest positions for the third session in a row on Monday, this time by around 2.8K contracts in light of advanced figures from CME Group. In the meantime, volume went down by around 11.8K contracts, partially reversing the previous build.

NATURAL GAS: A MOVE TO $3.00/MMBTU IS NOT RULED OUT

Short covering pushed Natural Gas prices to the boundaries of $2.90 per MMBtu on Monday. Diminishing open interest and volume leaves the upside somewhat limited although a move to the key barrier at $3.00 per MMBtu should not be ruled out in the very near-term.