• USD/JPY pair has edged higher sharply towards 123.37 levels after US Core CPI came in line economists expectations. Currently the pair is making an attempt to break resistance at 123.40 and reach higher levels. 
  
  
• The pair is set to advance further towards 123.80 and 124.40 in the short term, as the US dollar is set gain upper hand against Japanese yen in the coming days on US rate hike bets. Therefore, it's good to buy this pair on dips. 
  
  
• Strong support can be seen at 122.80, a break below this level will expose the pair to next support level at 122.24.
  
  
• Major resistance can be seen at 123.40, a break above this level will open the door towards 124.10.
  
  Recommendation: We prefer long above 123.00, targets 123.60, 124.20, SL 122.50.
  
  Resistance Levels
  
  R1: 123.40 (38.2 % Retracement Level) 
  
  R2: 123.60 (Nov 9th high) 
  
  R3: 124.10 (23.6 % Retracement Level)
  
  Support Levels
  
  S1: 123.00 (Psychological levels) 
  
  S2: 122.80 (50 % Retracement Level)
  
  S3:122.24 (61.8% Retracement Level)