Bank of America Global Research discusses USD/JPY technical outlook.

"USDJPY's breakout above 161.95 advances the secular uptrend in favor of it continuing toward ~175. Specifically, two measured moves have estimated a secular target area of 174.61-176.56. A monthly candle close above ~162 would strengthen the signal. Given BoJ intervention risk, ideally price remains above the May 2026 low at 155," BofA notes.

"The RSI has risen above 65 and the MACD crossed up while above the zero line. Both suggest the rally can persist. Forthcoming upside targets include the 61.8% measured move extension at ~163.95, followed by 166.46 and 170. A weekly close below 155.04 reduces uptrend conviction," BofA adds.