The USD/JPY pair caught fresh bid tone and quickly reversed a downward spike below 112 handle following the comments from BOJ Governor Kuroda. USD/JPY trying hard to take-out 112.60 resistance The major is seen on a gradual recovery path and heads towards 113 handle as BOJ Kuroda’s comments provide a fresh air of breathe to the bulls after the recent carnage. Speaking in the Parliament, BOJ Chief noted, “Recent risk-aversive moves are excessive, out of line with fundamentals. BOJ's monetary easing may affect yen, stock moves by prompting investors to shift funds out of JGBs and into stocks, foreign bonds.” However, the major finds it difficult to advance through the 112.60 barrier and therefore, the recovery appears to lose steam, with the pair now consolidating around 112.30 levels, down -0.09% on the day. USD/JPY collapses to the lowest levels since Oct 2014 just below 111 handle after risk-aversion heightened amid equities rout and as investors’ fretted over negative interest rates regime adopted by most global central banks. Markets were caught off-guard by the sudden risk-off wave and now prefer to hold the safe-havens such the yen, and thus maintaining the risk around the USD/JPY to the downside ahead of Yellen’s testimony and US jobs data. USD/JPY Technical levels to watch In terms of technicals, the immediate resistance is located at 113/113.30 (psychological levels/ 1h 50-SMA). A break above the last, the major could test 113.85 (5-DMA). While to the downside, the immediate support is seen at 111.93 (Daily low) and below that at 110.98 (Feb 11 Low). For more information, read our latest forex news.