GBP futures: negative outlook unchanged

CME Group’s advanced figures for GBP futures markets showed investors added more than 1.8K contracts on Thursday vs. Wednesday’s final 191,559 contracts. Volume, instead, dropped by 3.8K contracts, reverting two consecutive builds.

GBP/USD eyes 1.3540, 200-day sma

Cable’s leg lower remains well and sound so far this week. The recent price action has been in tandem with an uptick in open interest and shrinking volume, leaving the door open for a deeper retracement which should find initial support in the 1.3540 region, where sits the 200-day sma.