The bears appear relentless as we step into the early European trades, with USD/JPY diving deeper into the red on a break below 109, hitting the lowest levels since Oct 2014. USD/JPY cracks 109 as intervention unlikely The yen extends its bullish run against the American dollar for the fifth straight session as the JPY bulls continue to cheer comments from a number of Japanese officials and fx experts, noting that fx market intervention in a bid to stem the yen’s appreciation looks unlikely at the moment.. At the time of writing, USD/JPY hit fresh eighteen-month lows at 108.77, down -0.88% on the day. Moreover, the latest spurt of selling seen in the USD/JPY pair can be justified by a sudden downward rally in the US dollar against its major peers, knocking-off US dollar index to fresh six-month lows at 94.19, losing -0.30% so far this session. The greenback came under renewed selling pressure as the European traders hit their desks and give up the USD, reacting to the more dovish FOMC minutes released last US session. Meanwhile, the major will continue to track the broader market sentiment, while US jobless claims will be watched for fresh cues on the buck ahead of Friday’s Yellen’s speech in the Asian morning. USD/JPY Technical levels to watch In terms of technicals, the immediate resistance is located at 109.90/110 (daily pivot/ round n umber). A break above the last, the major could test 110.44/46 (5-DMA/ daily R1). While to the downside, the immediate support is seen at 108.60/50 (daily S2/ psychological levels) and below that at 108 (multi-month lows). For more information, read our latest forex news.