GBP Futures: Further recovery stays in the pipeline

Pablo Piovano FXStreet

CME Group’s flash data for GBP futures markets noted investors added around 52.4K contracts to their open interest positions on Tuesday, reversing the previous drop. On the opposite direction, volume reversed five consecutive builds and retreated by nearly 27K contracts.

GBP/USD targets the 1.30 area

Cable’s uptick on Tuesday was in tandem with rising open interest, which should be supportive of the continuation of the move up in the near term. The down tick in volume, on the other hand, could remove some tailwinds from the expected recovery and trigger some rangebound trading in the near-term horizon.

Author

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 remains bid near 1.1650 post-US ADP

Finally some respite for the risk complex see EUR/USD partially recover from the recent steep sell-off, this time hovering around the 1.1650 zone amid decent gains in a context of renewed selling pressure on the US Dollar. However, the duration and extension of this bounce should be put to the test amid the unabated tensions in the Middle East.

GBP/USD meets resistance around 1.3400

In line with its risk-linked peers, GBP/USD stages a modest comeback on Wednesday, although meeting some resistance around the 1.3400 neighbourhood. Cable’s humble recovery comes on the back of the fresh downward bias in the Greenback amid a marginal improvement in the global sentiment and steady geopolitical effervescence.

Gold flirts with $5,200 amid safe haven demand

Gold partially fades Tuesday’s sharp pullback, regaining the $5,200 mark per troy ounce on the back of the resurgence of investors’ demand for the safe-haven space. The precious metal remains well propped up by the deterioration of the geopolitical scenario in the Middle East, while the softer tone in the US Dollar collaborates with the uptick.