GBP futures: gathering downside traction

In light of preliminary data for GBP futures markets from CME Group, investors added more than 1.7K contracts to their open interest positions on Tuesday vs. Monday’s final 195,344 contracts. On the same direction, volume rose sharply by almost 42K contracts.

GBP/USD now targets 1.3765

Cable is extending the weekly leg lower against the backdrop of increasing open interest and volume, which adds to the prospects of further downside in the near term. This combination now allows for a probable visit to 1.3765, next interim support and February’s low so far.