USD/JPY Surge Intensifies as Yen Weakness Sparks Intervention Fears

USD/JPY has maintained sustained upward pressure, with the Japanese yen's persistent weakness raising concerns about potential Bank of Japan intervention. The pair has climbed steadily as divergent monetary policies continue to weigh on the yen, with the BoJ maintaining ultra-loose policy while other major central banks remain hawkish. Market participants are increasingly wary of verbal or direct intervention from Japanese authorities, particularly as the pair approaches psychologically significant levels that have historically triggered official action. Trading volumes have increased as speculators test the BoJ's tolerance for yen weakness. Technical indicators show overbought conditions, but momentum remains strong. The next key resistance lies at recent multi-year highs, while any intervention could trigger sharp reversals. Traders should monitor Japanese officials' comments closely and consider the heightened volatility risk in current market conditions.