GBP futures: scope for further decline

CME Group’s preliminary data for GBP futures markets showed investors added more than 1.8K contracts to their open interest positions on Wednesday from Tuesday’s final 183,826 contracts. Volume, instead, rose markedly by almost 23.5K contracts.

GBP/USD: 1.3900 still holds

Cable’s weekly downside has been on the back of shrinking volume and somewhat increasing open interest, leaving the door open for some extra downside in the near term, although the drop in volume should keep pullbacks shallow and around the 1.3900 neighbourhood.