FXStreet (Edinburgh) - Strategist at Westpac Robert Rennie remains bullish on the pair’s outlook in the near term. Key area to watch is the mid-116.00s. Key Quotes “We shifted our bias back to neutral for USD/JPY late last year as we expected a correction post Fed. Clearly, that correction has gone a lot further than we expected”. “The speed with which the ¥ has strengthened (JPYNEER at highs back to Oct 2014) and the lack of commentary from Japanese officials has doubtless raised some eyebrows”. “With crude prices collapsing it’s hard to see where inflation is going to appear from. So watch BoJ closely next week and expect the level of concern to rise”. “We shift the bias back to a buy bias, though dips below 116.00/50 would see us ‘stopped out’”. For more information, read our latest forex news.