The Bank of Japan is expected to remain on hold at its meeting scheduled on June 16.
Uncertainty at FOMC meeting scheduled on June 14 to 15, also supports reasons for the BoJ to remain muted this Thursday.
The pair remains capped below 5-DMA, has broken below 106.08 (weekly 200-SMA) and is testing lower at 105.75.
Downside could see test of 105.55 (May 3rd lows) and then 105.20 ( Oct 13th low).
On the flipside, immediate resistance is seen at 106.40 ( ) ahead of 106.82 (5-DMA).
Good to sell rallies around 105.95/106 levels, SL: 106.50, TP: 105.55/105.20
Profit booking likely at lows, pair edges higher.
Next support on the downside at 104.03 (Sept 2014 low).