• The USD/JPY pair slipped towards 122.85 levels after  hawkish comments from ECB's Draghi, however the pair pulled back some losses after the US market opened.
  
  
• Currently the pair is trading around 123.25 levels, a short dip towards 123.00 levels should be viewed as buying opportunities as the support level at 122.80 is set to hold the bears from falling further below and push the pair towards higher levels in the short term. 
  
  
• Strong support can be seen at 122.80, a break below this level will expose the pair towards next support level located at 121.65.
  
  
• Major resistance can be seen at 123.60, a break above this level will open the gates towards 124.00 levels.
  
  Recommendation: We prefer long above 122.80, targets 123.50, 124.00, SL 122.50.
  
  Resistance Levels
  
  R1: 123.14 (38.2% Retracement Level) 
  
  R2: 123.38 (23.6% Retracement Level)
  
  R3:123.57 (Daily high)
  
  Support Levels
  
  S1: 122.97 (50% Retracement Level)
  
  S2: 122.80 (61.8% Retracement Level)
  
  S3: 121.65 (Dec 1st lows)