GBP futures: bearish view unchanged

CME Group’s flash data for GBP futures markets noted open interest rose by more than 2.3K contracts on Monday from Friday’s final 192,474 contracts. Volume, instead, dropped for the first time after two consecutive builds by around 44K contracts.

GBP/USD still eyes 1.3658

The down leg in Cable has been in tandem with increasing open interest while activity in volume has been erratic. Therefore, the negative view still persists and a test of 1.3658 (2017 peak) is not ruled out.