Gold Futures: Probable continuation of the rebound

Open interest in gold futures markets increased for the second session in a row on Tuesday, this time by around 11.8K contracts according to preliminary readings from CME Group. Volume followed suit and went up by around 25.5K contracts, extending the ongoing choppiness.

Gold now targets $1,730

Gold prices posted decent gains on Tuesday and partially faded the retracement seen at the beginning of the week. The uptick was on the back of rising open interest and volume and allows for further gains in the very near term. Further recovery in the precious metal is expected to target the October high at $1,729 per ounce troy.