• GBP/USD erased earlier gains on Wednesday as renewed U.S.-Iran tensions dented risk sentiment and boosted safe-haven demand for the dollar..
• U.S. President Donald Trump said that Iran had downed a U.S. Apache helicopter near the strait, marks one of the most significant escalations since Washington and Tehran agreed to a ceasefire in April.
• Markets are looking to Friday's UK GDP data, with further fresh impulses for sterling set to come thick and fast next week.
• A series of key events is scheduled for June 18, including the release of inflation and retail sales data, the Bank of England’s interest-rate decision, and and the crucial Makerfield by-election will take place on June 18.
• The BOE is due to announce its interest-rate decision on June 18, with markets pricing in a roughly 90% chance that rates will remain unchanged.
• Immediate resistance is located at 1.3421(SMA 20)), any close above will push the pair towards 1.3486(50%fib)
• Strong support is seen at 1.3345(38.2%fib) and break below could take the pair towards 1.3298(Lower BB).
Recommendation: Good to sell around 1.3430, with stop loss of 1.3500 and target price of 1.3370
