GBP/USD slides to daily lows near mid-1.2800s ahead of NFP

The British Pound remained on back-foot across the board, with the GBP/USD pair dropping to fresh session lows near mid-1.2800s.

Traders on Friday shrugged off strong reading on UK construction activity, with political headlines dominating the pair's movement ahead of the crucial UK general election on June 8.

The pair's downslide in the past hour or so could be attributed to the latest IPSOS Mori Poll that showed support for Labour Party’s leader Corbyn continues to increase. As reported in the Evening Standard, PM May's lead narrowed further and now stands at 45% as compared to opponent Labour party’s 40%. 

Meanwhile, a sharp retracement in the US treasury bond yields, ahead of the keenly watched non-farm payrolls data, has been the only factor limiting further losses. 

Today's release of US monthly jobs report (NFP) is unlikely to be a game changer for the pair's near-term direction but would still be looked upon for some trading impetus. 

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Technical levels to watch

Immediate support is now pegged near 1.2830 level, below which the pair could head back below the 1.2800 handle towards testing an important confluence support near 1.2770 area. On the flip side, any recovery attempts back above 1.2870 level might continue to confront fresh supply near the 1.2900 handle, which is closely followed by weekly highs resistance near 1.2915-20 region.