GBP futures: upside momentum fading?

Advanced figures for GBP futures markets showed open interest shrunk by around 8.3K contracts on Tuesday from Monday’s final 314,909 contracts, according to CME Group. In the same line, volume dropped marginally by more than 1.3K contracts, recording the third consecutive drop.

GBP/USD could test 1.3364

Cable’s rally remains well and sound so far this week. Yesterday’s advance was accompanied by decreasing open interest and volume, indicative that the underlying uptrend could be running out of steam. However, after moving above 1.3200 the figure today, GBP/USD could now target July’s peak in the 1.3360 area.