There are fundamental and technical factors that point to even bigger USD/JPY gains in the days and weeks ahead to 165.

The yen dropped against the dollar on Tuesday, giving up some of its sharp gains the previous day sparked by suspected intervention by Japanese authorities.
On Monday USD/JPY dropped from 160.24 to 154.40, on the EBS, before recovering.

While the Bank of Japan left interest rates on hold at its recent meeting, the policy rate differential between the Federal Reserve and the BOJ remains sizeable and keeps USD/JPY's bias on the upside.
FX traders could take USD/JPY much higher, despite Japanese authorities' continuing concerns over a weakening yen.

Earlier in April USD/JPY overcame the 152.60 Fibo, a 38.2% retrace of the major 277.65 to 75.31 (1982 to 2011) drop, which keeps the underlying market structure quite bullish for gains back above the 160 level.
Fourteen-week momentum remains positive, adding the upside potential.

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