GBP Futures: Scope for extra losses

In light of preliminary data from CME Group, open interest in GBP futures markets rose for the fifth session in a row on Thursday, this time by just 235 contracts. On the other hand, volume went down by nearly 13.3K contracts following two consecutive builds.

GBP/USD remains capped by the 200-day SMA

Cable’s correction lower was accompanied by another uptick in open interest, hinting at the likeliness that a potential deeper retracement still remains on the cards. That said, the April’s low in the 1.2160 region should emerge as the next stop on the downside.