USD/JPY pops and drops on BOJ, 113 eyed?

The yen moved-off lows and returned to the familiar range near the upper bound of 113 handle following the announcement of the BOJ policy decision. The BOJ left its monetary policy settings unchanged, maintaining short-term interest rate target at -0.1% and 10-year JGB yield target around 0%.

However, the knee-jerk upward spike was soon faded, as the JPY bulls regained control amid widespread risk-aversion, refueled by the latest Trump headlines. Trump fires acting Attorney General Yates

The spot was last seen exchanging hands at fresh daily lows of 113.31, losing -0.39% on the day. Focus now remains on the BOJ presser for fresh cues on the policy decision and hence, on the Japanese currency.

USD/JPY Technical levels to watch 

The major finds immediate resistance at 114 (10-DMA). A break above the last, the major could test 114.35 (5 & 20-DMA) and 114.81 (daily R1) beyond the last. While to the downside, the immediate support is seen at 113.46 (previous low) next at 113.02/01 (Jan 26 & 25 low) and below that at 112.66 (Jan 23 low).