GBP/USD is at the lows for the day and is flirting with a drop below the 200-hour moving average
Frankly speaking, I wouldn't classify the PMI data release later to be a significant one for the pound. All it will do in the big picture is reaffirm flat/sluggish growth in the UK economy in Q4 and that is something we all already know for the longest of time.
In any case, the pound is also still largely driven by Brexit/election sentiment and economic data has taken a backseat for the most part of 2019.
That said, when price action is sitting on the edge of such a precarious level, all it could take is just a small push to drive more flows and turn it into something bigger.
Cable is on the verge of slipping firmly below the 200-hour MA (blue line) @ 1.2899 and the 1.2900 handle, so even if the data may mean little, a significant miss could prompt sellers to try and pick at some stops below the key near-term level above.
If price falls below the 200-hour MA, sellers will then regain near-term control of the pair with further support seen around 1.2870 and then 1.2820-30.
