FXStreet (Mumbai) - A renewed risk-aversion wave hit the markets over the last hours, dragging USD/JPY back near 117 handle. USD/JPY faced rejection near hourly 200-SMA The USD/JPY pair trades modestly flat at 117, having reverted to the opening price near 116.85 region in last hours. The JPY bulls fights hard to regain control as markets experience a major turnaround in risk conditions after the black gold erased gains and fell back in the red. With the oil recovery dissipating, Asian equities have turned negative as investors’ confidence in risky assets once again gets rattled and hence, traders seek safety assets such as the yen in times of market turmoil and panic. USD/JPY’s recovery from yearly lows stalled near hourly 200-SMA at 117.50 levels and the prices drifted near 65 pips lower before reverting back to 117 handle, where it now wavers. USD/JPY Technical levels to watch In terms of technicals, the immediate resistance is located at 118/118.03 (round number/ Jan 11 High). A break above the last, the major could test 118.28 (Jan 14 & 15 High). While to the downside, the immediate support is located at 116.68/55 (Jan 11 & 18 Low) below which 115.96 (Jan 20 Low) would be tested. For more information, read our latest forex news.