Morning, This from MUFG.
The firm argues that the ascend in the pair from 102.59 to 105.00 is to lose steam as "repatriation from Japanese operators is expected to pick up soon and last until around late March". For some context, the Japanese fiscal year ends in March.
Adding to that, the firm also says that the gains so far this year were largely driven by investors covering short dollar positions as 10-year Treasury yields climbed over 1% on spending and reflation prospects after the Georgia runoff elections.
In the bigger picture, they see USD/JPY in a core range of 101.00 to 106.00 with lesser likelihood of a push towards 100.00, all else being equal.