It’s still very much to do with the volatility swings since last week. This time, we’re moving in the other direction as the BOJ and Fed meetings are just around the corner. As mentioned earlier, the near-term bias in the pair is now more neutral. That frees up a bit of room to roam for price action. Right now, the 200-hour moving average (blue line) at 155.25 is a key near-term resistance point to watch.

That alongside the 155.00 mark in general, which also houses large option expiries on the day here. That could keep a lid on price action at least in European morning trade, barring any outsized moves in the broader risk mood and bonds.