USDJPY completes its declines. Time to look for longs

USDJPY fell to the 100 level earlier today on the Brexit outcome. As anticipated, price action has been flirting with the major support level seen near 100.50 - 94.50. We could therefore expect to see a reversal off this level over the next 3 months. If the neckline resistance at 124.00 is broken, USDJPY could extend gains to 150.

With Brexit out of the way, BoJ is likely to go full steam ahead with its monetary policy easing. Next meeting is scheduled for July. Meanwhile US dollar is looking bullish in the near term as Fed likely to hold back on hiking rates. We could expect a near term US dollar strengthening and perhaps a return to the 'stronger dollar' theme.