• USD/JPY rose on Thursday  as dollar rallied across the board after upbeat US economic data and on expectations that Federal Reserve was on track to raise interest rates in December.
   
• U.S. economic data showed an upward revision in U.S. durable goods orders for August and stronger-than-expected U.S. pending home sales for September supported prevailing expectations for a December rate increase.
   
• Further downside is expected to be limited as the pair finds strong support at 103.97 should limit further decline and bring rebound towards higher levels in the short term.
   
• To the upside, the strong resistance can be seen at 105.34, a break above this level would take the pair towards next resistance level at 106.00.
   
• To the downside immediate support can be seen at 104.58, a break below this level will open the door towards next level at 103.97.
  
  Resistance Levels
  
  R1: 105.03 (Session high)
  
  R2: 105.34 (61.8% Retracement Level)
  
  R3: 106.00 (Psychological levels)
  
  Support Levels
  
  S1: 104.58 (38.2% Retracement Level)
  
  S2: 103.97 (50% Retracement Level)
  
  S3: 103.33  (61.8% Retracement Level)