USD/JPY takes a breather at mid-102s

The UK decision to leave the European Union triggered a rally to safety across financial markets and sent the yen soaring.

USD/JPY fell almost 800 pips to an over 2-year low of 98.97 during the Asian session, but has already retraced half of the move. The pair climbed to the 103.25 zone where it found resistance and turned back down, with the downleg contained by 102.00. It was last trading at 102.39, recording a 3.5% loss on the day.

Price action remains choppy and volatile as investors assess the implications of the Brexit, after several world leaders warned against economic and political consequences.

USD/JPY technical levels

On the upside, resistances are seen at 103.24 (intraday high) and the 104.75/105.00 area (200-day SMA/psychological level). On the downside, supports could be faced at 102.00 (intraday level) and not much until 100.00 (psychological level).