FXStreet (Mumbai) - Having faded the recovery near 20-WMA, the USD/JPY pair was relentlessly offered once again as the sell-off in the Asian markets intensified. USD/JPY: Bearish bias intact Currently, the USD/JPY pair trades modestly flat 121.40, recovering slightly from fresh session lows struck at 121.28, near 200-DMA (121.24). The extension of the rout in global equities, with the Japanese Nikkei tanking -1.22% and Australia’s S&P/ASX down -1.24% so far, accentuated the risk-off sentiment across the financial markets and hence, bolstered the demand for yen as a safe-haven. Moreover, sentiment soured after oil prices remained near more than six-year lows, weighing on the energy and resource and mining stocks on the region’s indices. Meanwhile, markets ignored the broad based US dollar recovery after a massive slide in the previous session and favoured safety-assets in times of panic and uncertainty in markets. Hence, the sentiment on the equities is expected to emerge the major driver for the pair in the day ahead. USD/JPY Technical levels to watch The prices turn lower and find the immediate support placed at 121.24 (100-DMA) below which 121.10/07 (50-WMA/ Dec 9 Low) would be tested. To the top-side, the immediate resistance is now placed at hourly 100-SMA & 200-DMA confluence at 121.89. A break above the last, the major could test 122.11 (1h 20-SMA). For more information, read our latest forex news.