GBP futures: deeper retracement not ruled out

GBP futures markets noted open interest rose by nearly 1.5K contracts on Friday vs. Thursday’s final 223,080 contracts, as showed by CME Group. In the same line, volume increased by just 580 contracts.

GBP/USD could test the sub-1.27 area

The continuation of the choppy activity in both open interest and volume against the backdrop of declining prices hints at the likeliness that further pullbacks are in the pipeline for Cable. The immediate support of note should be October’s low just below the 1.2700 handle.