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USD/JPY has been trading a rising wedge pattern and finds strong support at 113.30 (wedge base).
- Appetite for risk seen lacking in the markets following China's announcement of lower GDP target range (6.5%-7%) for 2016.
- Ongoing weakness in the Japanese stocks keeps the yen underpinned, Nikkei 225 index declines -0.45% and nears 17k mark.
- Breaks below 113.30 will take the pair to next support at 113.24 (10-DMA) and then 113.12 (March 4th lows).
- On the topside we see immediate resistance at 113.93 (session highs) and then at 113.99 (Feb 26th highs).
- We see the pair extending range trade for the week, breaks above 114.50 could see more upside.
