FXStreet (Mumbai) - The JPY bulls lost momentum once again, now pushing USD/JPY to fresh multi-month highs just ahead of 121.90 levels. USD/JPY breaks through daily R1 Currently, the USD/JPY pair trades 0.28% higher at fresh three-month highs recorded at 121.91 last minutes. The USD/JPY pair picked-up significant strength in last hours, on the back of renewed selling interest around the Japanese currency amid improving sentiment on the European markets, which dented yen’s appeal as a safe-haven. Moreover, markets continue bidding the major as the US dollar remains supported after Yellen’s comments on Wednesay. While recent series of upbeat US fundamentals also boosts the sentiment around the buck. The USD index now trades 0.07% higher at 98.08. Looking ahead, the pair will continue to track the sentiment on the European stocks, while awaiting the US unemployment claims will be reported in an otherwise data-light US trading calendar. USD/JPY Technical levels to watch The prices hover near highs and find the immediate resistance at 122 and from there to 122.50 (psychological levels). To the downside, the immediate support in sight at 121.58 (100-DMA), below which 121.42 (200-DMA) would be tested. A break below the last, 121/120.98 (round number/ Nov 4 low) comes into the picture. For more information, read our latest forex news.