FxWirePro: USD/JPY remains bullish as rally continues

• The USD/JPY pair continued to inch higher on Tuesday, as a weekend election victory by Japan's ruling coalition paved the way for more stimulus, bolstering risk sentiment.

• The Bank of Japan is expected to provide additional easing to keep interest rates low and the yen weak to make sure stimulus spending can gain traction.
   
• Currently the pair is trading at 104.56 levels, it is set to advance further towards 105.00 and later 105.50 levels in the short term.

• To the upside, the strong resistance can be seen at 105.10, a break above this level would take the pair towards next resistance level at 105.59.
   
• To the downside immediate support can be seen at 104.10, a break below this level will open the door towards next level at 103.44.

Resistance Levels

R1: 104.77 (38.2% Retracement Level)

R2: 105.10 (June 6th high)

R3: 105.59 (23.6% Retracement Level)

Support Levels

S1: 104.10 (50% Retracement Level)

S2: 103.44 (61.8% Retracement Level)

S3: 103.00 (Psychological levels)