GBP Futures: bearish with caution

Pablo Piovano FXStreet

Preliminary figures for GBP futures markets from CME Group noted open interest shrunk for the third session in a row on Monday, this time by around 1.1K contracts. In the same direction, volume went down for the second day in a row, now by around 23.6K contracts.

GBP/USD could slip back to sub-1.2400 levels

Cable extends its downside mood on Tuesday amidst shrinking open interest and volume, allowing for a probable rebound in the near term. However, the Sterling remains under heavy pressure on UK politics and Brexit and therefore another test of levels below 1.2400 the figure should not be ruled out in the near term.

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Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD faces next resistance near 1.1930

EUR/USD continues to build on its recovery in the latter part of Wednesday’s session, with upside momentum accelerating as the pair retargets the key 1.1900 barrier amid a further loss of traction in the US Dollar. Attention now shifts squarely to the US data docket, with labour market figures and the always influential CPI releases due on Thursday and Friday, respectively.

GBP/USD sticks to the bullish tone near 1.3660

GBP/USD maintains its solid performance on Wednesday, hovering around the 1.3660 zone as the Greenback surrenders its post-NFP bounce. Cable, in the meantime, should now shift its attention to key UK data due on Thursday, including preliminary GDP gauges.

Gold holds on to higher ground ahead of the next catalyst

Gold keeps the bid tone well in place on Wednesday, retargeting the $5,100 zone per troy ounce on the back of modest losses in the US Dollar and despite firm US Treasury yields across the curve. Moving forward, the yellow metal’s next test will come from the release of US CPI figures on Friday.