• The Sterling declined sharply against the greenback, hitting as low as 1.3023 levels in the earlier US session. But, after short buying interest, the pair inched upwards to trade at 1.3077 levels.
   
• Further upside should be limited as the pair finds strong resistance at 1.3173 levels, therefore its good to sell this pair on rallies.
   
• Currently, the cable is trading around 1.3075 levels, it is set to decline further towards 1.3000 and later towards 1.2950 levels in the short term.
   
• To the upside, the immediate resistance can be seen at 1.3111, a break above this level would expose to cable to next resistance level at 1.3173.
   
• To the downside major support can be seen at 1.3050, a break below will open the door towards next level at 1.2975.
  
  Resistance Levels
  
  R1: 1.3111 (50% Retracement Level)
  
  R2: 1.3173 (61.8% Retracement Level)
  
  R3: 1.3200 (Psychological levels)
  
  Support Levels
  
  S1: 1.3050 (50% Retracement Levels)
  
  S2: 1.2975 (38.2% Retracement Level)
  
  S3: 1.2923 (Aug 11th lows)