oil22052020Open interest shrunk for yet another session on Thursday, this time by just 693 contracts. In the same direction, volume reversed two consecutive drops and advanced by around 2.8K contracts.

Thursday’s uptick in prices of the WTI was amidst the continuation of the downtrend in open interest, leaving the door open for a correction lower in the very near-term. Against this, the recent sharp recovery looks to have met a significant barrier in the $35.00 mark per barrel for the time being.