FXStreet (Mumbai) - USD/JPY extends its bearish momentum into the early European trades, as the yen continues to gain momentum amid persisting risk-off environment. USD/JPY eyes NY lows at 117.19 Currently, the USD/JPY pair trades -0.36% lower at fresh session lows of 117.32, falling nearly 70-pips from daily highs at 118.02. The major met fresh supply near 117.50 levels and dropped further towards 117 handle, on increased safe-haven bids for yen as risk sentiment continues to deteriorate alongside sliding oil prices. Both crude benchmarks now trade below 31 barrier, at 12-year lows. Adding to this, the Chinese stocks are also seen paring gains towards closing hours, with the Shanghai Composite index now +0.20% versus +1% previous. Thus, it can be seen that riskier assets are being sold-off across the board, weighing negatively on the US currency. Furthermore, comments from the Japanese government warning over the downside risks from China slowdown and overseas development, also weighs on investors’ minds and pushes USD/JPY lower. Meanwhile, markets now await BOJ Governor Kuroda’s speech for fresh momentum. USD/JPY Technical levels to watch In terms of technicals, the immediate resistance is located at 118.02/03 (Jan 11 & Today’s High). A break above the last, the major could test 118.51 (10-DMA). While to the downside, the immediate support is located at 117 (round number) below which 116.70 (Jan 11 low) would be tested. For more information, read our latest forex news.