GBP futures: further downside not ruled out

Advanced figures for GBP futures markets noted investors trimmed their open interest positions by nearly 2.5K contracts on Tuesday vs. Monday’s final 209,156 contracts. On the other hand, volume increased sharply by almost 87K contracts.

GBP/USD rejected from tops beyond 1.3200

Cable is posting some decent gains on Wednesday following two consecutive days with losses. Shrinking open interest could alleviate the downside pressure, although the important advance in volume favours a deeper retracement.