• USD/JPY rose on Wednesday after dollar was boosted by the stronger-than-expected reading on U.S. employment and solid manufacturing data.
   
• U.S. factory activity hit a more than a two-year high in January and a private payrolls report shot past expectations.
   
• ADP National Employment Report showed U.S. private employers added 246,000 jobs in January and the Institute for Supply Management said its index of national factory activity rose to 56.
   
• Further downside is expected to be limited as the pair finds strong support at 112.35 should limit further decline and bring rebound towards higher levels in the short term.
   
• To the upside, the strong resistance can be seen at 114.42, a break above this level would take the pair towards next resistance level at 114.98.
   
• To the downside immediate support can be seen at 113.15, a break below this level will open the door towards next level at 112.35.
  
  Resistance Levels
  
  R1: 113.96 (38.2% Retracement Level)
  
  R2: 114.42 (Jan 23rd highs)
  
  R3: 114.98 (23.6% Retracement Level)
  
  Support Levels
  
  S1: 113.15 (50% Retracement Level)
  
  S2: 112.35 (61.8% Retracement Level)
  
  S3: 112.00 (Psychological levels)