USD/JPY steady below 102.80

USD/JPY  remain limit unable to benefit from the rally of equity prices on Wall Street. The pair continues to move in ranges between 102.80 and 102.55 while stock in the US extended gains. The Dow Jones is now up 1.30%, the S&P 1.45% and the Nasdaq 1.65%.

The yen is among the weakest currencies on Wednesday and is lower across the board but modestly, on a relatively quiet session in the forex market. USD/JPY is just trading less than 20 pips above yesterday’s closing price. The rally in stocks weakened the demand for the Japanese currency.

USD/JPY limited by Tuesday’s highs

Greenback is lower across the board but versus the yen managed to erase losses. The pair bottomed during the Asian session at 102.15 and then bounced to the upside and it was capped by 102.80/85, where yesterday’s highs are located (the area also offered resistance during Friday’s American session).

Above 102.85, resistance levels could be seen at 103.25 (post-referendum high), 103.55 (June 16 & 21 low) and 104.05 (June 17 low). On the flip side, support levels might lie at 102.50 (20-hour moving average), 102.15 (daily low) and 101.35 (June 27 low).