GBP futures: market turned cautious

Open interest in GBP futures markets tracked by CME Group showed traders kept scaling back its positions by nearly 2K contracts on Tuesday, as shown by preliminary figures.

Upside limited?

Open interest are extending the downtrend for the fifth consecutive session so far today, all amidst quite a moderate upside in Cable from last week’s lows near 1.2580 to as high as yesterday’s peaks beyond 1.2800 the figure. The downtrend in open interest raises the question whether the current rally is sustainable, while the area above 1.2800 stays as potential interim top.