• The big yen short is getting bigger. PM Takaichi defends policy as underpinning yen

• USD/JPY could see bigger gains as it remains above the key 163.16 Fibo

• 163.16 Fibo is a 23.6% retrace of the July 160.49 to 163.99 July (EBS) rise

• Spot has seen a 163.33-71 range on Monday, according to EBS data

• USD/JPY continues to trade below last week's new 163.99 multi-decade high

• There are likely good offers ahead of 164.00, some likely option barrier defence

• Stops above 164.00 are large, however, massive barriers at 165.00 could be targeted

Daily Chart


(Martin Miller is a Reuters market analyst. The views expressed are his own)