ING FX Strategy Research discusses USD/JPY outlook into the coming year and sees a scope for a rally in Q1 2018.
"The dollar’s best chance of a rally may be in 1Q18 when 10-year US Treasury yields advance to 2.60/2.70%.
That could push USD/JPY to 115. However, recovering growth stories elsewhere in the world should extend the dollar’s benign decline later in 2018.
Coincidentally, the dollar also usually suffers in the second year of Republican presidencies," ING argues.