GBP futures: leg lower could gain traction

Preliminary figures for GBP futures markets from CME Group showed open interest ticked higher by more than 2.5K contracts on Monday vs. Friday’s final 202,144 contracts. In the same line, volume, rose sharply by more than 66K contracts.

GBP/USD top in place around 1.3550

Cable ended Monday’s session with small gains after failing to extend the upside momentum further north of the 1.3540 region. The move has been in tandem with increasing open interest and volume, leaving the door open for extra downside in the next hours.

As usual, Brexit headlines should remain the almost exclusive catalyst for the pair in the next months, while the upbeat sentiment around the greenback has been also weighing on spot.