• The USD/JPY declined on Wednesday as the dollar dipped on geopolitical tensions and weak U.S. housing data fanned doubts that the Federal Reserve would raise interest rates again in June.
   
• The National Association of Realtors said on Wednesday its Pending Home Sales Index, based on contracts signed last month, dropped 1.3 percent to 109.8.Economists had forecast pending home sales rising 0.5 percent last month. Pending home sales fell 3.3 percent.
   
• The U.S. housing data stoked doubts that the Fed, which is widely expected to raise interest rates at the end of its June 13-14 meeting, would hike rates again after that over the rest of the year.
   
• Currently, the currency pair is trading around 110.69 levels, it is set to decline further towards 110.20 later towards 109.80 levels in the short term.
   
• To the upside, the strong resistance can be seen at 111.73, a break above this level would take the pair towards next resistance level at 112.00.
   
• To the downside immediate support can be seen at 110.36, a break below this level will open the door towards next level at 110.06.
  
  Resistance Levels
  
  R1: 111.00 (50% Retracement Level)
  
  R2: 111.73 (61.8% Retracement Level)
  
  R3: 112.00 (Psychological levels)
  
  Support Levels
  
  S1: 110.36 (38.2% Retracement Level)
  
  S2: 110.06 (Jan 27th lows)
  
  S3:109.47 (23.6% Retracement Level)