GBP/USD better bid in Asia, but struggles near 1.3200

The GBP/USD pair is seen building onto yesterday’s gains and now looks to regain 1.32 handle amid a broadly muted US dollar and positive oil prices.

GBP/USD struggles to extend above 1.3200

Currently, GBP/USD trades +0.10% higher at 1.3190, unable to take on the recovery beyond 1.32 barrier. The cable is seen consolidating the recovery from 10-DMA support just shy of 1.32 handle, as the bears are seen guarding the last amid mixed sentiment prevalent in the Asian session, with the equities deep in the red, while the oil attempts a tepid bounce following yesterday nearly 4% slump.

The GBP/USD pair also finds support from ongoing weakness in the US dollar against its major peers, in wake of recent poor US economic releases. However, the recovery appears to lack follow-through as investors continue to weigh weaker UK manufacturing PMI data released a day before.

Looking ahead, markets now look forward to the UK construction PMI data lined up for release later in the European session, ahead of the US economic data due out in the NA session.

GBP/USD Levels to consider                           

The pair has an immediate resistance at 1.3250 (daily R1), above which 1.3276 (daily top) would be tested. On the flip side, support is seen at 1.3176/71 (daily low/ 20-DMA) below that at 1.3150 (psychological levels).