GBP/USD Forecast: bearish pressure to aggravate below 1.2930

The US Dollar has managed to preserve overnight recovery gains, with the GBP/USD pair trading with a negative bias below the key 1.30 psychological mark. The greenback turned higher on Tuesday after strong US JOLTS job openings data added to last week's upbeat NFP report and raised optimism over prospects of additional Fed rate hike action in 2017. Meanwhile, the British Pound remained under some renewed selling pressure and continues to be weighed down by last week's perceived dovish BOE monetary policy announcement. 

The pair broke below the 1.30 handle, marking 38.2% Fibonacci retracement level of 1.2589-1.3269 recent up-move, and seems to have confirmed a near-term bearish breakdown. Currently holding just above 4-week lows touched in the previous session, the pair bearish pressure is likely to aggravate once the pair decisively breaks below an important confluence support near 1.2930-25 region. The mentioned support comprises of 50-day SMA and 50% Fibonacci retracement level, which if broken would open room for continuation of the pair's corrective slide from fresh yearly tops touched last Thursday.

Meanwhile, any recovery move now seems to confront fresh supply near the 1.3000-1.3010 region, support turned resistance. A convincing move back above the said hurdle, leading to a subsequent strength beyond 1.3030-35 zone, could lift the pair beyond 1.3065 horizontal resistance towards reclaiming the 1.3100 handle, also coinciding with 23.6% Fibonacci retracement level.