• The GBP/USD pair fell as low as 1.3107 in the early US session after data showed Consumer Price Index for August came better than expectations.
   
• Consumer Price Index rose 0.2 percent last month after being unchanged in July. In the 12 months through August, the CPI increased 1.1 percent after advancing 0.8 percent in July.
   
• The ongoing weakness is set to continue for this pair as the resistance level at 1.3254 is likely to act as strong barrier to the bulls and bring a further decline towards lower levels.
   
• To the upside, immediate resistance can be seen at 1.3165, a break above this level would expose the cable to next resistance level at 1.3254.
   
• To the downside immediate support can be seen at 1.3101, a break below at this level will open the door towards next level at 1.3022.
  
  Resistance Levels
  
  R1:  1.3165 (50% Retracement level)       
  
  R2: 1.3254 (61.8% Retracement level)    
  
  R3: 1.3300 (Psychological levels)
  
  Support Levels
  
  S1: 1.3101 (Session low)                               
  
  S2: 1.3022 (Aug 19th lows)
  
  S3: 1.2970 (23.6% Retracement level)