GBP futures: deeper retracement likely

CME Group’s preliminary data for GBP futures markets showed traders increasing their open interest positions by almost 4.3K contracts on Tuesday, up from Monday’s 183,010 contracts. In the same line, volume rose by more than 32.1K contracts, almost offsetting the drop seen at the beginning of the week.

GBP/USD: scope for a visit to 1.3000

Cable’s downside momentum could get further traction in the near term, as the move continues to be in tandem with rising both volume and open interest, all signaling a bearish scenario.

The pair could initially test recent lows in the 1.3030/25 band, while the psychological handle at 1.3000 the figure should come back on the radar once this area is cleared.