FXstreet.com (Barcelona) - The Japanese yen has recently been losing ground against its American counterpart, and according to E.Theoret, analyst at Scotiabank, the main reasons are the widening trade deficit and the more dovish tone from some of the BoJ’s board members.

However, the expert attains some optimism to the first nuclear plant reactivation after the last year’s disaster, “…a small step towards helping reduce Japan’s recently elevated demand for fossil fuel imports…”.

“We remain bullish USDJPY (bearish JPY), with Q4 2012 target of 83.00”, the analyst concluded.