GBP futures: downside pressure alleviated

CME Group’s preliminary figures for GBP futures markets saw open interest shrinking by almost 12K contracts on Friday vs. Thursday’s 199,246 contracts. In the same line, volume dropped by more than 18K contracts.

GBP/USD support emerged at 1.40

Against the backdrop of declining prices and diminishing open interest and volume, Cable could be headed for a U-turn. The potential reversion of the recent sharp sell off coincides with the strong support lying in the 1.4000 region.