GBP Futures: scope for a correction lower

Open interest and volume in GBP futures markets increased on Thursday by around 2.4K contracts and 11.5K contracts, respectively, as per advanced readings from CME Group.

GBP/USD risks a test of 1.2770

Cable’s drop on Thursday was on the back of rising open interest and volume, a sign that fresh sellers are entering the markets. That said, the door is now open for a deeper retracement with the next relevant target at monthly low near 1.2770.