FxWirePro: GBP/USD slips to four-month low with plenty more downside potential

• GBP/USD slipped to four-month low on Monday  as escalating Middle East tensions boosted demand for the US dollar.

• Middle East tensions escalated as Trump threatened to obliterate Iran's energy infrastructure if it does not open the Strait of Hormuz, after Tehran rejected U.S. peace proposals and fired missiles at Israel.

• UK economic data last week showed business activity grew at its slowest pace in six months, manufacturers' input costs surged at the fastest rate since 1992, and retail sales declined.

• Key data releases later this week include domestic fourth-quarter GDP figures and the U.S. jobs report for March.

•Meanwhile ,investors await local elections on May 7 as Keir Starmer's governing Labour Party is ​trailing the populist Reform ​UK and the ⁠left-wing Green Part

• Immediate resistance is located at 1.3277(Daily high), any close above will push the pair towards 1.3362(Higher BB).

• Strong support is seen at 1.370(38.2%fib), and break below could take the pair towards 1.3153(Lower BB).

Recommendation: Good to sell on  around 1.3220 with stop loss of 1.3300 and target price of 1.3150