GBP futures: cautious, potential rebound on the cards

Open interest in GBP futures shrunk for the fourth consecutive session on Tuesday, this time by almost 2.3K contracts from the previous day, according to preliminary data from CME Group. On the other hand, volume rose for the first time by around 61.8K contracts after for drops in a row.

GBP/USD holding on to 1.3100

The persistent leg lower in Cable following last week’s yearly tops has been accompanied by declining open interest, which should remove some strength from the selling impetus. However, the noticeable build in volume yesterday along with the unclear daily performance could still fuel some downside.