USD/JPY: a break through 107 could accelerate the decline (ING)

ING believes there is a new downside risk for the USD/JPY this week. This movement is largely related to the weakness of the dollar rather than the strength of the yen.

"This week, it's Trump's "America First" policy that will weigh down on the pair. Potential new speculation about monetary tightening by the BoJ following the latest encouraging inflation figures is also to be considered.

The low thresholds are between 107.30 and 108. This area should remain intact. A break through 107 could trigger more downside speculation," says ING.