Deutsche Bank sees a scope for USD/JPY to test 1998 USD/JPY high at 147.66 where strategic shorts are likely to be built around.
"Another currency making history is USD/JPY that is moving within a range of levels last seen in the volatile year of 1998, when a very different Russian crisis was at hand," DB notes.
"When nothing more than verbal intervention is at hand, the market can read from the lip service that the authorities are still some way from tightening monetary policy. While the yen has had a penchant for moving in five big figure ranges it is the big 1998 USD/JPY high at Y147.66 that is the natural target. It would not be surprising to see substantial JPY long set up on its approach," DB adds.