The British pound sterling is trading weaker, hit by a host of bearish factors.
The threat of negative interest rates and a second lockdown are weighing on the cable.
Earlier, the currency pair attempted to reverse losses. However, price action reversed gains near the 1.3000 handle forming a resistance level here.
Following the reversal, prices are trading close to the 11th September lows.
If this continues, GBPUSD is very likely to break down lower to the 1.2750 handle.
If the support holds, we could see some stability in the currency pair. However, failure to hold on to the support could open the risk of a decline to 1.2516 next