The USD/JPY pair lost its tepid recovery bounce momentum near 102.80 area and has now turned back to opening levels to currently trade around 102.60 region. Earlier on Monday, the pair initially gained traction from the prevalent risk-on sentiment and was seen attempting to regain some of its lost ground on Friday. The gains, however, were limited and a slight deterioration in risk sentiment, as depicted by a turnaround in European equities, weighing on investor sentiment and dragged the pair back towards its weekly opening level. Despite of a remarkable recovery in global equity markets, in the aftermath of the historic Brexit referendum, the pair remained a relative underperformer to the global risk-on rally as traders remained cautious over the political and economic uncertainty surrounding the Britain's decision to leave the European Union.With the US markets closed on Monday, in observance of Independence Day, the pair might continue to take cues from the prevalent sentiment around equity markets, while markets await for next big trigger in the form FOMC meeting minutes on Wednesday and Friday's monthly employment data from the US.Technical outlookSlobodan Drvenica, Information & Analysis Manager Windsor Brokers Ltd., notes, "Initial support at 102.40 zone holds for now and guards downside trigger at 102.00 (broken Fibo 38.2% of 106.78/98.98 fall), loss of which is needed to signal recovery stall and shift focus lower.""Alternative scenario requires lift above strong resistance zone between 102.88 and 103.80 (cracked Tenkan-sen / former low of 16 June and Fibo 61.8% of 106.78/98.98) to bring near-term bulls fully in play for extended recovery."