FxWirePro: GBP/USD falls as investors assess Britain's political transition

• GBP/USD dipped on Monday as markets prepared for new British Prime Minister Andy Burnham.

• Burnham succeeded Keir Starmer as Britain's seventh prime minister in a decade, vowing to reshape the country's politics and introduce a new economic model.

•Britain's seventh prime minister in a decade faces an array of challenges in his new role — from a sluggish economy to worries about fiscal discipline and the fallout from the Iran war.

• Burnham said on Monday he would maintain the previous government's fiscal rules while making full use of any flexibility available within them..

• Burnham pledged to reshape Britain's politics with a new economic model and revive a nation weary of frequent leadership changes. He said he would announce immediate measures on Tuesday to ease cost-of-living pressures.

• Meanwhile, global risk sentiment remained fragile as U.S. strikes on Iran entered a ninth consecutive day, while Yemen's Iran-backed Houthis announced a naval blockade on Saudi Arabia.

•   Immediate resistance is located at 1.3500(38.2%fib), any close above will push the pair towards 1.3553(Higher BB)

•  Strong support is seen at 1.3387(50%fib) and break below could take the pair towards 1.3358(SMA 20).

  Recommendation: Good to sell  around 1.3430, with stop loss of 1.3500 and target price of 1.3350