GBP/USD sits at session tops in pre-NFP trade

The GBP/USD pair traded with mild positive bias through European session and is currently placed at session tops near 1.2940 level. 

Early results from the UK local elections revealed a strong showing for the Tory Party and against the backdrop of this week's upbeat UK PMI prints, political development remained supportive for the bid tone surrounding the British Pound and helped the pair to defend the 1.2900 handle.

However, a modest greenback recovery, with the key US Dollar Index holding with minor gains around 98.75 region, continued capping the pair within its weekly trading range. 

The pair trimmed some of its early gains closer to an immediate strong hurdle near mid-1.2900s as investors eagerly await the release of monthly jobs report from the US, which should act as a fresh catalyst for the pair's next leg of directional move. 

Also in focus would speeches from various influential FOMC members, including the Fed Chair Janet Yellen, which could shed some fresh light over the central bank's monetary policy outlook and also collaborate towards driving the pair later during the NY session.

   •  Fed speak in focus today- Rabobank

Technical levels to watch

Bulls would be eyeing for a decisive break through 1.2950 immediate strong hurdle, above which the pair seems all set to accelerate the up-move towards the key 1.30 psychological mark en-route 1.3060-65 horizontal resistance. 

On the flip side, weakness back below the 1.2900 handle could drag the pair back towards retesting 1.2865-60 strong horizontal support, which if broken seems to turn the pair vulnerable to break below weekly lows support near 1.2835-30 area and head towards the 1.2800 handle.