USD/JPY rises to the top end of trading range at 102.30

Holding its Monday's trading range, the USD/JPY pair bounced-off session lows and turned positive to currently trade at 102.30, nearing the top-end of its short-term 100-110-pips narrow range.

Despite of improving global risk appetite, the pair has failed to register any meaningful recovery on Tuesday as traders remained cautious and uncertain about the economic implication of the UK's vote to leave the European Union. 

The unprecedented event of UK wanting to end its membership with EU, coupled with concerns over Chinese economic slowdown, now seems to fuel worries that the event might hinder already fragile global economic recovery and is thus, capping any swift recovery for the pair.

Traders now look forward to the final print of US GDP for Q1 2016 and June consumer confidence data in order to grab some short-term trading opportunities.

Technical levels to watch

Bulls are likely to wait for a decisively strength above Monday's high resistance around 102.45-50 region, which if cleared should trigger a near-term short-covering rally immediately towards 103.00 handle that might get extended towards 103.50 support break-point turned resistance.

On the flip side, reversal from the top end of the trading range, and a subsequent drop below 102.00 handle, would reaffirm near-term range-bound move that might drag the pair back towards 101.50-40 lower end of the trading range support. A decisive break below 101.50 support could eventually drag the pair back below 101.00 round figure mark, towards retesting the very important 100.00 psychological mark support.