GBP/USD stays above 1.2150, awaiting UK wages report

The falling USD has partly supported this pair despite deteriorating risk appetite due to geopolitical concerns. The next event of focus is key UK wage inflation data and the September US Retail Sales report released on Tuesday.

On the H4 frame, the RSI indicator dropped below 40, showing a short-term bearish trend. The 1.2200 area with 2 MA lines 50 and 100 will be important resistance.

After confirmation of surpassing 1.2200, GBP/USD may continue to rebound to the MA 20 at 1.2250 and the 23.6% Fibo level of the decline from the July peak to the October bottom at 1.2300.