USD/JPY trades choppy above 5-DMA, 105 back on sight

The USD/JPY pair is seen consolidating the massive 60-pips spike witnessed in the Asia-opening trades, although remains quite choppy amid favourable market conditions.

USD/JPY fails just ahead of 10-DMA at 104.94

The dollar-yen pair is seen wavering in a tight range below 105 handle, having found fresh bids just ahead of 5-DMA located at 104.53, as risk sentiment remains underpinned on hopes of a Bremain. At the time of writing, USD/JPY advances +0.23% to 104.65, while the Japanese benchmark the Nikkei 225 index trades +0.50% higher at 16,150 points.

However, further upside appears capped as markets still remain nervous heading into the EU’s membership polls beginning 6GMT onwards. While broad based US dollar weakness also weighs on the upbeat momentum around USD/JPY.

USD/JPY Technical levels to watch

In terms of technicals , the immediate resistance is located at 104.94/98 (10-DMA/ daily top). A break above the last, the major could test 105.31/50 (daily R2). While to the downside, the immediate support is seen at 104.53 (5-DMA) and below that at 104 (round number).