USD/JPY: buy below 100, sell above 115 (Deutsche Bank)

The Deutsche bank identifies the channel in which the USD/JPY should evolve over the long term on the forex:

"In the short term, we need to alert ourselves against the downside risk of the USD/JPY. The catalyst for the correction could be related to the sustainability of US policies, a weakening of emerging countries or commodity prices that would lead to an increase in the dollar, concerns about China's capital outflows and uncertainty regarding US policy. On the other hand, we believe that the rally, although largely driven by expectations, has not yet fully incorporated into pricing Trump's upcoming policies, which are still vague. We think the USD/JPY still has plenty of room to rise before Donald Trump enters the White House.

We recommend a tactical approach, buying under 110 or selling above 115," says the Deutsche Bank.