GBP futures: rising odds for extra losses

Open interest in GBP futures markets increased for the third session in a row yesterday, this time by almost 6.8K contracts, according to preliminary figures from CME Group. In the same direction, volume also went up for yet another session by more than 15K contracts.

GBP/USD now looks to 1.2770

Cable’s sharp sell off appears to have found some contention in the 1.2830 region on Wednesday. However, rising open interest and volume leaves the door open for the continuation of the down move with immediate target at February lows in the 1.2770 region.