USD/JPY stabilizes below 103.00

US dollar managed to move off from session lows against the yen over the last hours, although the upside remained limited by the 103.00 area.

Earlier on the day, USD/JPY price action was mainly driven by rumors that the BoJ could be assessing the idea of cutting rates deeper into the negative instead of increasing asset purchases at its meeting later in the month. 

USD/JPY climbed to a peak of 103.35 but was rejected, falling all the way toward 102.46 before finding support. At time of writing, USD/JPY is trading at 102.72, still 0.17% above its opening price. 

USD/JPY levels to watch

As for technical levels, next supports are seen at 102.41 (Sep 14 low), 101.90 (20-day SMA) and 101.41 (Sep 12 low). On the flip side, resistances could be faced at 103.35 (Sep 14 high), 103.80 (Sep 6 high) and 104.30 (Sep 2 high).