The USD/JPY pair is seen retreating from near 114.50 levels in the mid-European session, as the bulls gear up for the risk event for today, the US ADP employment report. USD/JPY capped below 114.50 The major paused its ongoing bullish run and now consolidates the upside ahead of the US ADP report, which may provide fresh impetus for next push higher. At the time of writing, USD/JPY eases to 114.33, still gaining 0.28% on the day. The calm has spread across the markets as traders look forward to the upcoming US data, which is likely to spur volatility. The US jobs report is likely to provide fresh hints on the Fed interest rates outlook, especially after the recent streak of strong macro dataflow from the US placed Fed rate hikes prospects in 2016 back on the table, with the next hike speculated at the June FOMC meeting. Meanwhile, analysts are expecting the US private sector to have created 185,000 new jobs in February, against 205,000 jobs added a month before. USD/JPY Technical levels to watch In terms of technicals, the immediate resistance is located at 114.70/72 (daily R1/ Feb 15 High). A break above the last, the major could test 115 (round number). While to the downside, the immediate support is seen at 113.74/73 (daily low/ 5-DMA) and below that at 113.42/39 (daily pivot/ 20-DMA). For more information, read our latest forex news.