GBP/USD refreshes session tops, lacks follow-through beyond 1.2900 mark

• A modest USD pullback helped gain some positive traction in the last hour.
• Uncertainty over the outcome of the UK election might cap any strong gains.
• Traders now look forward to UK/US PMI print for some short-term impetus.

The GBP/USD pair finally broke out of its Asian session consolidation phase and refreshed daily tops in the last hour, albeit struggled to extend the momentum beyond the 1.2900 handle.
 
The pair managed to attract some dip-buying interest at lower levels and was being supported by the fact that the incoming opinion polls have been indicating a majority for the UK Prime Minister Boris Johnson's Conservative Party at the upcoming election in December.

Traders are likely to remain on the sidelines

This coupled with a modest US Dollar pullback, though remained cushioned amid a strong follow-through pickup in the US Treasury bond yields, provided an additional boost and remained supportive of the pair's sudden spike of around 25 pips over the past hour or so.
 
However, the inherent uncertainty over the actual outcome of the UK snap election might continue to hold investors from placing any aggressive bullish bets and turned out to be one of the key factors keeping a lid on any runaway rally for the major, at least for the time being.
 
Moving ahead, market participants now look forward to the UK services PMI for some short-term impetus. This along with the release of US ISM non-manufacturing PMI might further contribute towards producing some meaningful trading opportunities on Tuesday.

Technical levels to watch