GBP/USD inching closer towards 30-year lows

The GBP/USD pair keeps its bearish momentum intact in the Asian session, with the bears now gearing up for a test of three-decade lows reached just below 1.28 handle after the Brexit-vote.

GBP/USD faces double whammy

The cable continues to face double blow, as reports on the timing of the Brexit process continues to weigh heavily on the GBP on one hand, while ongoing bullish momentum behind the greenback against its major peers also adds to the weakness in GBP/USD. At the time of writing, GBP/USD trades -0.09% lower at 1.2825, testing fresh three-month lows reached at 1.2815 a day before.

The major reversed a temporary reversal staged after the release of stronger UK manufacturing PMI data, as the US dollar picked-up strength across the board following upbeat US manufacturing PMI reports, which exacerbated the pain in the spot.

Markets now await the UK construction PMI data, which may offer some respite to the GBP bulls, while a test of post-Brexit lows is inevitable as investors continue to fret over the Brexit process.

GBP/USD Levels to consider            

The pair has an immediate resistance at 1.2900 (key support-turned resistance), above which at 1.2951 (10-DMA) and next at 1.2980 (round number). On the flip side, support is seen at 1.2846 (3-month low) below that at 1.2800/1.2796 (round figure/ Brexit-low) and at 1.2750 (30-year lows).