FXStreet (Mumbai) - The USD/JPY pair shed a couple of pips, but remains largely muted despite the weaker-than-expected US data release. Up for third consecutive day The USD/JPY pair is up for the third consecutive day as the demand for the USD stays intact after the Fed delivered a hawkish rate hike. The long duration treasury yields are down, however, the rate sensitive two-year yield is still hovering around 1%; its 5-/12 year high. Consequently, the uptick in the US weekly jobless claims and a bigger-than-expected contraction in the Phily Fed manufacturing index was ignored by the markets. The pair could continue to track the short duration treasury yields ahead of the NY closing. USD/JPY Technical Levels The pair fell to 122.43 from 122.54 on data, but quickly recovered the 9-pip loss. The immediate resistance is seen at 123.01 (July 27 low), above which the pair could test 123.55 (76.4% of 125.856-116.082). On the other hand, a break below 122.12 (61.8% of 125.856-116.082) would open doors for a drop to 121.59 (200-DMA). For more information, read our latest forex news.