Usd/jpy Resumes Downside After Trump's Trade Policies Concerns Investors!

USD/JPY declined on Tuesday as traders were concerned about protectionist trade policies by U.S. President-elect Donald Trump, which hurt the U.S. dollar and increased demand for Safe-haven assets.
Safe-haven assets such as gold, the Japanese yen and U.S. Treasuries benefited as investors sought refuge ahead of Trump inauguration.
Trump’s campaign calls for tax cuts and more infrastructure spending, but his protectionist statements and a flurry of off-the-cuff Tweets have kept many investors from adding to risky positions.
Further upside is expected to be limited as the pair finds strong resistance at 114.31 which should limit further upside and bring decline towards lower levels in the short term.
To the upside, immediate resistance can be seen at 113.40, a break above this level would take the pair towards next resistance level at 113.90.
To the downside immediate support can be seen at 112.90, a break below this level will open the door towards next level at 112.29.
Resistance Levels

R1: 113.40 (50% Retracement Level)

R2: 113.90 (61.8% Retracement Level)

R3: 114.31 (Daily high)

Support Levels

S1: 112.90 (38.2% Retracement Level)

S2: 112.29 (23.6% Retracement Level)

S3: 111.95 (Nov 30th lows).